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Question 1 Salehuddin engages in a financial transaction by acquiring 1 0 0 shares of common stock at a price of EUR 6 0 per

Question 1Salehuddin engages in a financial transaction by acquiring 100 shares of common stock at a price of EUR60 per share. Concurrently, Salehuddin proceeds to sell call options on the same 100 shares of stock, with a predetermined strike price of EUR65 per share. The sale of these call options is executed at a premium of EUR1 per option. Upon reaching the expiration date of the option, the value of the underlying asset is recorded at EUR58. Calculate and elucidate Salehuddin's profit option.

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