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The current price of Apple stock is $360, and the one-month call option on Apple stock with a strike price of $360 currently sells for
The current price of Apple stock is $360, and the one-month call option on Apple stock with a strike price of $360 currently sells for $10. Assume the contract size of one call option contract is 1 share. You expect the price of this stock will increase in the next month. You want to invest $7200 and try to decide between two strategies: buy stock itself vs. buy call options of this stock. If one month later, the stock price is $370, which strategy provides you higher profit? Please explain and show your detailed calculation.
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