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Refer to the stock options on Apple in the Figure 2.10. Suppose you buy an October expiration call option on 100 shares with the excise
Refer to the stock options on Apple in the Figure 2.10. Suppose you buy an October expiration call option on 100 shares with the excise price of $100 a-1. If the stock price in October is $102, will you exercise your call? Yes 0 a-2. What is the net profit/loss on your position? (Input the amount as a positive value.) (Click to select) of $ a-3. What is the rate of return on your position? (Negative value should be indicated by a minus sign. Round your answer to 2 decimal places.) Rate of return b-1. Would you exercise the call if you had bought the October call with the exercise price $95? Yes 0 b-2. What is the net profit/loss on your position? (Input the amount as a positive value.) (Click to select) of $ b-3. What is the rate of return on your position? (Negative value should be indicated by a minus sign. Round your answer to 2 decimal places.) Rate of return c-1. What if you had bought an October put with exercise price $100 instead? Would you exercise the put at a stock price of $100? Yes 0 c-2. What is the rate of return on your position? (Negative value should be indicated by a minus sign. Round your answer to 2 decimal places.) Rate of return
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