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The current price of a stock is $40. An investor buys a one-year call options with a strike price of $41 for $4. Over the
The current price of a stock is $40. An investor buys a one-year call options with a strike price of $41 for $4. Over the next year the stock rises to $43. If the investor sold the option on the last day of expiration, what would be the return on this option?
A. -50%
B. +50%
C. -100%
D. +100%
E. none of above
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