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You purchased a call option for $2.25 two weeks ago. The call has a strike price of $75 and the stock is now trading for
You purchased a call option for $2.25 two weeks ago. The call has a strike price of $75 and the stock is now trading for 78.05. If you exercise the call today, what will be your holding period return and effective annual return? (Assuming returns are compounded weekly)
a. 36%; 29,6491.07%
b. 26%; 18,8043.01%
c. 22%; 17,4931.64%
d. 36%; 38,5245.53%
e. None of the options.
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