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Stock Market Options Trading Question: Stock A has a current price of $45.60 and is supposed to go up in the near future. Jimmy has
Stock Market Options Trading Question:
Stock A has a current price of $45.60 and is supposed to go up in the near future. Jimmy has 3 contracts x 100 shares for an October 16 $50 call with a premium of $3.70 for an initial invesment of $1,110. If the price rises up to $57.70 and Jimmy sells, what is the total profit that Jimmy made from the option trade? What dollar amount will Jimmy have as an end investment? Show your steps.
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