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You are bullish on the share price of Aspire TRL Berhad and decide to a long call option with exercise price of RM11 at RM0.30
You are bullish on the share price of Aspire TRL Berhad and decide to a long call option with exercise price of RM11 at RM0.30 premium. (a) Calculate the payoff for the range of spot price for Aspire TRL Berhad Berhad shares. (10 marks) (b) Based on your answer in (a), plot the graph of payoff long call position. [Hint: label all axes carefully]. (12 marks) (c) Based on your graph in (b), discuss the risk profile of long call position
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