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You have just purchased the options listed below. Based on the information given, indicate whether the option is in the money, out of the money,
You have just purchased the options listed below. Based on the information given, indicate whether the option is in the money, out of the money, or at the money, whether you would exercise the option if it were expiring today, what the dollar profit would be, and what the percentage return would be
Company Option Strike Today's Stock Price Moneyness of the option? (Click to select) (Click to select) Click to select) (Click to select)+ Profit (per Share) Exercise? Click to select) (Click to select) (Click to select) | (Click to select Payoff (per Share) Return 48 $46.03 $46.03 $11.50 $11.50 0.86 Put 48 5.61 Call b. Now suppose that time has passed and the stocks prices have changed as indicated in the table below. Recalculate your answers to part a. Company Option Strike 46 46 12 Today's Stock Price Moneyness of the option? (Click to select) (Click to select) (Click to select) (Click to select) Premium Payoff (per Share) Profit (per Share) Exercise? (Click to select) (Click to select | (Click to select) (Click to select) Return S43.04 $43.04 S14.66 $14.66 1.44 4.61 2.00 0.72 Put Call PutStep by Step Solution
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