Question
What is the profit to put holder if the strike price is $45 and the stock price at expiration is $48? The price for the
What is the profit to put holder if the strike price is $45 and the stock price at expiration is $48? The price for the put option is $2
What is the profit to call writer if the strike price is $18 and the stock price at expiration is $21? The price for the call option is $4
What is the profit to call holder if the strike price is $63 and the stock price at expiration is $68? The price for the call option is $2
What is the profit to put writer if the strike price is $42 and the stock price at expiration is $40? The price for the put option is $2
Also is there a different equation for profit depending on the strike and stock price and how do you know when to use which equation for questions asked in this similar format? Thank you
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