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Read the following questions carefully. Round your answers to 2 decimal places. Use the following information for question 1-3. Followings are option contracts on Microsoft's

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Read the following questions carefully. Round your answers to 2 decimal places. Use the following information for question 1-3. Followings are option contracts on Microsoft's stock. The current stock price of Microsoft is S258.52/share. Expiration date: 9/17/2021 Call (price) Strike Price Put (price) 19.47 MSFT 245.00 6.42 13.1 MSFT 255.00 9.98 7.7 MSFT 265.00 15 1. Tess just establishes a long position in MSFT 245.00 call option, it is currently (in-the-money, at-the-money, or out-of-the-money). Its intrinsic value is (in-the-money 2. Ted just shorts a MSFT 255.00 put contract. The contract is currently at-the-money, or out-of-the-money). Its intrinsic value is 3. Who is required to deposit money into a margin account? (Tess, Ted, both, or none) Use the following information for question 4 - 5. The stock price of Alphabet Inc. (Google's parent company) is $2,513.93/share. Alphabet never pays dividends. The current risk-free rate is 2.3%. Do answer the questions with numeric numbers (price), not symbols. 4. There is an American call option on Alphabet Inc. The strike price of the option is $2,500 share and the option expires in 3 years. The price upper bound of the call option is The price lower bond of the call option is 5. There is a European put option on Alphabet Inc. The strike price of the option is $2,450/share and the option expires in 7 months. The price upper bond of the put option is . The price lower bond of the put option is . There is an American put option on Alphabet Inc. that has the same strike price and maturity as the European put. The price of the American put option would be : 2, 5 s, the price of the European put option

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