A put is the option to sell stock at $54. It expires after three months and currently sells for $2 when the price of the stock is $55. If an investor buys this put, what will the profit be after three months if the price of the stock is $60? $54? $48? Round your answers to the nearest dollar. Use a minus sign to enter loss values, if any. If the answer is zero, enter "0".   Price of the stock Profit on the position in the put $60 $   $54 $   $48 $     What will be the profit from selling this put after three months if the price of the stock is $60? $54? $48? Round your answers to the nearest dollar. Use a minus sign to enter loss values, if any. If the answer is zero, enter "0".   Price of the stock Profit on the position in the put $60 $   $54 $   $48 $

solve a,b,c and d please. round to nearest dollar

The price of a stock is $58, and a six-month call with a strike price of $55 sells for $5. Round your answers to the nearest dollar. What is the option's intrinsic value? $   What is the option's time premium? $   If the price of the stock falls, what happens to the price of the call? As the price of the stock falls, the value of the call  . If the price of the stock falls to $50, what is the maximum you could lose from buying the call? Enter your answer as a positive value. $   What is the maximum profit you could earn by selling the call covered? $   If, at the expiration of the call, the price of the stock is $65, what is the profit (or loss) from buying the call? Enter your answer as a positive value. The  from buying the call is $   . If, at the expiration of the call, the price of the stock is $65, what is the profit (or loss) from selling the call covered? Enter your answer as a positive value. The  from selling the call covered is $   . If, at the expiration of the…

Assume that you have shorted a call option on Intuit stock with a strike price of $40. The option will expire in exactly three months' time. a. If the stock is trading at $55 in three months, what will you owe? b. If the stock is trading at $35 in three months, what will you owe? c. Draw a payoff diagram showing the amount you owe at expiration as a function of the stock price at expiration. a. If the stock is trading at $55 in three months, what will you owe? If the stock is trading at $55 in three months, you will owe $ (Round to the nearest dollar.)

solve a,b,c and d please. round to nearest dollar

You shorted a call option on Intuit stock with a strike price of $38. When you sold (wrote) the option, you received $3. The option will expire in exactly three months' time. a. If the stock is trading at $49 in three months, what will your payoff be? What will your profit be? b. If the stock is trading at $35 in three months, what will your payoff be? What will your profit be? c. Draw a payoff diagram showing the payoff at expiration as a function of the stock price at expiration. d. Redo c, but instead of showing payoffs, show profits. Question content area bottom Part 1 a. The payoff of the short is $ short is $ enter your response here. enter your response here, and the profit of the.   Please step by step answer.

The price of Newgen Corp. stock will be either $94 or $103 at the end of the year. Call options are available with one year to expiration. T-bills currently yield 7.90%. (Do not leave any empty spaces; input a O wherever it is required. Omit "$" sign in your response.) a. Suppose the current price of Newgen stock is $104. What is the value of the call option if the exercise price is $94 per share? (Round the final answer to 2 decimal places.) Call option value b. Suppose the exercise price is $109 in part (a). What is the value of the call option now? Call option value

You have purchased a put option on Pfizer common stock. The option has an exercise price of $45 and Pfizer's stock currently trades at $47. The option premium is $0.60 per contract. a. What is your net profit on the option if Pfizer's stock price does not change over the life of the option? b. What is your net profit on the option if Pfizer's stock price falls to $41 and you exercise the option? (For all requirements, negative amounts should be indicated by a minus sign. Round your answers to 2 decimal places. (e.g., 32.16)) a Net profit b. Net profit per share per share

Suppose a stock price can go up by 15.25% or down by 13.25% over the next year. You own a one-year put on the stock. The interest rate is 11%, and the current stock price is $61. a. What exercise price leaves you indifferent between holding the put or exercising it now? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Break-even exercise price 0.85 b. How does this break-even exercise price change if the interest rate is increased? If the interest rate is increased, the value of the put option decreases %24

An investor decides to implement a STRADDLE using put options using the following data . The price of stock today is $ 59 , time frame is 6months , the staddle is constructed using a put and a call option with a strike price of $ 61 . The call cost $ 4 and put costs $ 3 . a ) What is the profit ( % ) if in 6 months , if the stock price is at $ 70 b ) What is the profit ( % ) if in 6 months , if the stock price is at $ 60 c ) At what stock price in the future , the investor will make the least / min profit ? d ) Why do investors implement / use this strategy ? For what reason ?