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Saved Refer to the stock options on Apple in the Elgure 2.10. Suppose you buy an June expiration call option on 20 shares with the
Saved Refer to the stock options on Apple in the Elgure 2.10. Suppose you buy an June expiration call option on 20 shares with the excise price of $135 a-t. If the stock price in June is $151, will you exercise your call? Yes No a-2. What is the net profit/loss on your position? (Input the amount as a positive value.) -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 totum b-1. Would you exercise the call if you had bought the June call with the exercise price $145? Yes No b-2. What is the net profitloss on your position? (Input the amount as a positive value.) 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 retum 1. What if you had bought an June put with exercise price $135 instead? Would you exercise the put at a stock price of $135? Yes No c-2. What is the rate of retum on your position? (Negative value should be indicated by a minus slgn.) Rate of Connect figure2_10.jpg 745x190 poels FIGURE 2.10 Strike Call Put 135 7.63 1.17 Option prices on Apple (AAPL), April 18, 2017 3.80 2.71 Expiration May 12, 2017 May 12, 2017 May 12, 2017 June 16, 2017 June 16, 2017 June 16, 2017 140 145 1.61 8.05 4.80 5.60 2.07 135 140 145 Note: Apple stock price on April 18, 2017 was 5141.20 Source Compiled fin de downloaded from 3.90 6.65 2.50
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