When the underlying asset (S) is owned and a call option (C) (with strike priceX) on the underlying is sold, the strategy is called a covered call.

Suppose you own 100 shares on XYZ currently priced at $15.00. You write (sell) a call option with 6 months to expiry at a strike price of $15.50 over the 100 shares you own, for a premium of $1.60 (for each share).

The break-even share price at expiry for your covered call is

Select one:

$13.40

$13.90

$15.50

It cannot be calculated without more information about the share price at expiry.