You purchase a call option on a stock for $2. It has a strike price of $140 and will expire in 1 month. Assuming you hold the call until expiration, what will your profit or loss on the position be if the stock closes at: Stock in 1 month: 130 135 140 145 150 Draw a diagram that shows your call option profit/loss on the vertical axis and the expiration price of the stock on the horizontal. At expiration, what will be the breakeven stock price (profit/loss-0)?

You purchase a call option on a stock for $2. It has a strike price of $140 and will expire in 1 month. Assuming you hold the call until expiration, what will your profit or loss on the position be if the stock closes at: Stock in 1 month: 130 135 140 145 150 Draw a diagram that shows your call option profit/loss on the vertical axis and the expiration price of the stock on the horizontal. At expiration, what will be the breakeven stock price (profit/loss =0 )