Question
You ask your broker for a price quote for (a fictional company) Sunstar Inc.'s March 110 calls. She replies that these options are trading at
You ask your broker for a price quote for (a fictional company) Sunstar Inc.'s March 110 calls. She replies that these options are trading at $7.00. If you want to buy three contracts, what would be your total cost, including commission? Assume that the broker charges a commission equal to a flat fee of $17 plus $2 per contract.
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Call option contract March 110 Call option price 7 Number of contracts 3 Each ...
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Fundamentals of Corporate Finance
Authors: Richard Brealey, Stewart Myers, Alan Marcus
7th edition
978-0077616472, 77616472, 78034647, 978-0071314749, 71314741, 978-0078034640
