Apr 146.50 call - premium = 4.50 Gives the right to buy shares at $146.50 If spot = $147 and the option expires today, what are your profits? A. Negative, don't exercise B. $500 C. $1000 D. -$4000 E. None of the above AC DE

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Apr 146.50 call - premium = 4.50
Gives the right to buy shares at $146.50
If spot = $147 and the option expires today, what are your
profits?
A. Negative, don't exercise
B. $500
C. $1000
D. -$4000
E. None of the above
AC DE
Transcribed Image Text:Apr 146.50 call - premium = 4.50 Gives the right to buy shares at $146.50 If spot = $147 and the option expires today, what are your profits? A. Negative, don't exercise B. $500 C. $1000 D. -$4000 E. None of the above AC DE
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