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Use the information above to decide if the statements below are: True or False? 11- The call is in the money 12 - The exercise
Use the information above to decide if the statements below are: True or False? 11- The call is "in the money" 12 - The exercise price is $10/share 13 - The most you can lose on this call option before expiration is $1,000 per contract. 14 - The call options on Underwater must be exercised before the expiration date. 10 -Value Line measures the riskiness of a share of a particular company's stock compared to the S&P 500 index using a) Dividends b) Dividend yield c) Beta d) Net profit e) Profit margin Underwater Technology has stock selling for $60/share. A call option on this stock has a strike price of $55/share and the price of the call option (the premium) is $10/share. (One option contract on stock is for 100 shares.)
Use the information above to decide if the statements below are: True or False?
11- The call is "in the money"
12 - The exercise price is $10/share
13 - The most you can lose on this call option before expiration is $1,000 per contract.
14 - The call options on Underwater must be exercised before the expiration date.
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