Question
The price of a stock is $52. A trader buys 3 call option contracts on the stock with a strike price of $56 when the
The price of a stock is $52. A trader buys 3 call option contracts on the stock with a strike price of $56 when the option price is $4. When does the trader make a profit?
Group of answer choices
A. When the stock price is below $60
B. When the stock price is above $60
C. When the stock price is below $56
D. When the stock price is above $56
E. When the stock price is above $52
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Foundations Of Financial Management
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen
17th Edition
126001391X, 978-1260013917
