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Suppose you believe that BET's stock price is going to increase from its current level of $72.64 sometime during the next 7 months. For $410.25
Suppose you believe that BET's stock price is going to increase from its current level of $72.64 sometime during the next 7 months. For $410.25 you could buy a 7-month call option giving you the right to buy 100 shares at a price of $80.00 per share. If you bought a 100-share contract for $410.25 and BET's stock price actually changed to $89.00, your net profit (or loss) after behaving rationally on the decision to exercise the option, would be ______
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