On 01.10.2013 apple share price is $610 and the call option with exercise price $610 and exercise date 01.11.2013 is $10. With $610 you can buy exactly apple share(s). If the share price increases to $630 on the 01.11.2013 you would have made $ profits. If the share price decreases to $600 you would have made $ losses. Alternatively, you could have bought call options with $610. If the share price increased to $630 these call options would have resulted in a profit (net of buying outlays) of $ . However, if the share price would have decreased to $600, you losses would have been exactly $