This topic contains a solution. Click here to go to the answer

Author Question: Draw the profit diagram for a long position in a call option with a call premium of $3 and a strike ... (Read 310 times)

ap345

  • Hero Member
  • *****
  • Posts: 537

Question 1




Consider writing a put with a strike price of $360. Assume that the stock price rises to $390 by expiration. The profit to the writer is
◦ $0.
◦ $4.20.
◦ $25.80.
◦ $30.00.

Question 2

Draw the profit diagram for a long position in a call option with a call premium of $3 and a strike price of $50. What is the break-even stock price?
◦ $47
◦ $50
◦ $53
◦ $56


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by ap345 on Apr 25, 2021

bpool94

  • Sr. Member
  • ****
  • Posts: 354
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 45% of students answer this correctly




ap345

  • Member
  • Posts: 537
Reply 2 on: Apr 25, 2021
YES! Correct, THANKS for helping me on my review


bulacsom

  • Member
  • Posts: 329
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

Did you know?

Medications that are definitely not safe to take when breastfeeding include radioactive drugs, antimetabolites, some cancer (chemotherapy) agents, bromocriptine, ergotamine, methotrexate, and cyclosporine.

Did you know?

As of mid-2016, 18.2 million people were receiving advanced retroviral therapy (ART) worldwide. This represents between 43–50% of the 34–39.8 million people living with HIV.

Did you know?

In inpatient settings, adverse drug events account for an estimated one in three of all hospital adverse events. They affect approximately 2 million hospital stays every year, and prolong hospital stays by between one and five days.

Did you know?

Nitroglycerin is used to alleviate various heart-related conditions, and it is also the chief component of dynamite (but mixed in a solid clay base to stabilize it).

Did you know?

Illicit drug use costs the United States approximately $181 billion every year.

For a complete list of videos, visit our video library