each of the ​100-share options shown in the following​ table below; ​use the underlying stock price at expiration and other information to determine the amount of profit or loss an investor would have had. Option Type of option Cost of option Strike price per share Underlying stock price per share at expiration A Call ​$214 ​$48 ​$53 B Call ​$372 ​$45 ​$48 C Put ​$537 ​$63 ​$54 D Put ​$297 ​$32 ​$36 E Call ​$495 ​$27 ​$24 The profit (loss) experienced on option A is $ ? (Round to the nearest dollar. Enter a negative number for loss.)

Required: Refer to Figure 15.1, which lists the prices of various Microsoft options. Use the data in the figure to calculate the payoff and the profit/loss for investments in each of the following December 2019 expiration options on a single share, assuming that the stock price on the expiration date is $137. (Loss amounts should be indicated by a minus sign. Round "Profit/Loss" to 2 decimal places.) a. Call option, X = 135 b. Put option, X = 135 es c. Call option, X = 145 d. Put option, X = 145 Payoff Profit/Loss

A stock with a current market price of $50 has an associated put option priced at $6.5. This put option has an exercise price of $48. The put option has an intrinsic value of ______ and a time value of ______. Select one: a. $0; $4.5 b. -$2; $8.5 c. $2; $4.5 d. $2; $6.5 e. $0; $6.5

Of the following four call options that can be purchased on a stock, which would you expect to have the lowest price?  A. September call; $85 exercise price B. September call; $80 exercise price C. December call; $85 exercise price D. December call; $80 exercise price

The following table presents the data on ABC Corp.'s call options at different stock prices. Based on your understanding of exercise value and option prices, complete the table with a strike price of $16.00: Stock Price ($) Strike Price ($) Exercise Value ($) 24.00 16.00 8.00 16.00 16.00 16.00 16.00 48.00 60.00 66.00 72.00 50.00 Market Price of Option ($) 9.56 34.10 46.40 52.60 60.00 Time Value ($) 2.10 2.40 4.00 After two weeks, the stock price of ABC Corp. increases to $75.60. Suppose you purchased the shares for $48.00 and then sell the shares at $75.60; your rate of return will be on that transaction. After your analysis, you decided to purchase the option for $34.10, which gives you the right to buy ABC Corp.'s stock at $16.00. If you exercise the option by purchasing the stock at the strike price, you could immediately sell the share of the stock at its market price of $75.60. This will result in a payoff, and the rate of return on your option will be Answer the following…

A stock is currently priced at 43.75 when options are about to expire. What is the net profit of a CALL option with a strike price of 45 for the BUYER of the option if the premium paid was 1.75? (per share)   Group of answer choices   1.75   0.00   -2.25   -1.75   45.00

Question 1?

Use the data in the figure 20.1 and calculate thepayoff and the profits for investments in each ofthe following January expiration options, assumingthat the stock price on the expiration date is $125.a. Call option, X=$120b. Put option, X=$120c. Call option, X=$125d. Put option, X=$125e. Call option, X=$130f. Put option, X=$130

Required: Refer to Figure 15.1, which lists the prices of various Microsoft options. Use the data in the figure to calculate the payoff and the profit/loss for investments in each of the following November 2019 expiration options on a single share, assuming that the stock price on the expiration date is $138. (Loss amounts should be indicated by a minus sign. Round "Profit/Loss" to 2 decimal places.) ✓ Answer is complete but not entirely correct. Payoff Profit/Loss a. Call option, X = 135 $ 3.00 $ (3.78) b. Put option, X = 135 $ 0.00 $ (1.89) c. Call option, X = 140 $ 0.00 $ (1.50) X d. Put option, X = 140 $ 7.00 $ 0.35 x

Use the data table to answer the question that follows.   Stock A Stock B Stock C 52W high; 52W low $87.54; $32.21 $9.68; $6.25 $37.11; $35.92 Div 0 $0.05 $0.75 P/E 36 20 7.9 Close $85.43 $6.98 $36.87 An investor's primary concern with adding a new stock to their portfolio is value for the price paid. Which stock should they choose and why?    Stock B, because lower-priced stocks are more likely to be good deals in the financial market  Stock B, because its P/E ratio means that it is earning more per share than its price  Stock C, because its relatively lower P/E ratio indicates the others may be overvalued  Stock C, because its relatively higher Div value means it is the best overall deal