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Refer to the stock options on Microsoft in the Egure 210. Suppose you buy a September expiration call option on 300 shares with the excise

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Refer to the stock options on Microsoft in the Egure 210. Suppose you buy a September expiration call option on 300 shares with the excise price of $140 Required: 6.1. if the stock price at option expiration is $147, will you exercise your call? Yes ONO 1-2. What is the net profit/oss on your position (input the amount as a positive value.) Not tome 297 0-3. 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 September call with the exerche price $035 Yes NO 1-2 What is the net profit/loss on your position (Input the amount as a positive value) Net profit lor is 160 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 13.04 % c.1. What if you had bought the September put with exercise price $140 instead? Would you exercise the put at a stock price of $1907 Yes NO c-2. What is the rate of return on your position? (Negative value should be indicated by a minus sign.) Rate of return (100) Production/bne/finance/Bodie Essentials_of_investment FIGURE 2.10 Stock options on Microsoft, September 4, 2019 Expiration 27 September-2019 27 September-2019 27 September-2019 15 November 2019 15 November-2019 15-November-2019 Strike 130 135 140 130 135 140 Call 8.65 4.82 1.99 11.50 8.12 5:32 Put 1.03 2.17 4.35 3.55 5.15 7.40 Note: Microsoft stock price on this day was $137.49 Source: Compiled from data downloaded from Yahoo! Finance, M

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