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On May 13,2015, as indicated in Table 1.2. the spot offer price of Google stock is $532.34 and the offer price of a call option
On May 13,2015, as indicated in Table 1.2. the spot offer price of Google stock is $532.34 and the offer price of a call option with a strike price of $525 arid a maturity date of Septemher is $30.40. A troder is considering two aitematives: buv 100 shares of the stock and buy 100 September call options. For each alternative. What is fal the upfront cost, (b) the total gain if the stock price in September is $600, and (c) the total loss if the stock price in September is $500, Assume that the option is not exercised before September and if stock is purchased it is sold in September. On May 13,2015, as indicated in Table 1.2. the spot offer price of Google stock is $532.34 and the offer price of a call option with a strike price of $525 arid a maturity date of Septemher is $30.40. A troder is considering two aitematives: buv 100 shares of the stock and buy 100 September call options. For each alternative. What is fal the upfront cost, (b) the total gain if the stock price in September is $600, and (c) the total loss if the stock price in September is $500, Assume that the option is not exercised before September and if stock is purchased it is sold in September
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