Question
You bought Stock A at a purchase price of: $25 Call option strike price: $25 Option expiration date: June 30, 2022 Price of call option:
You bought Stock A at a purchase price of: $25 Call option strike price: $25 Option expiration date: June 30, 2022 Price of call option: $5
What is the return on the stock (%) if sell when stock goes up to 50? Assume that you bought only the stock, and not the call option. If you bought only the call option, what is the return on the option (%) if sell when stock goes up to 50? What is the return on the stock (%) if sell when stock goes down to $5, assuming that you bought only the stock, and not the call option. If you bought only the call option, what is the return on the option (%) if sell when stock goes down to 5?
If you could include the formals that would be really helpful! Thank you
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