In the Table below are the Numato Ltd's PUT Option prices (expiring on February 2022, March 2022 and April 2022) for various Strike Prices as on 15th January, 2022. Current Stock Price of Numato Ltd. is Rs 590. Determine the Intrinsic value and time value of PUT options (expiring on February 2022, March 2022 and April 2022) for various given Strike Prices at current price of Rs 590. Strike February Intrinsic Time Price Put Price Value Value Put (Rs.) (Rs) March Intrinsic Time April Intrinsic Time Value Put Value Value Value Price Price (Rs) (Rs) 500 0.50 3 5.5 550 2.50 9.5 14.5 600 17.5 28 34 650 59 62 66 700 109 109 109

In the Table below are the Numato Ltd's PUT Option prices (expiring on February 2022, March 2022 and April 2022) for various Strike Prices as on 15th January, 2022. Current Stock Price of Numato Ltd. is Rs 590. Determine the Intrinsic value and time value of PUT options (expiring on February 2022, March 2022 and April 2022) for various given Strike Prices at current price of Rs 590. Strike February Intrinsic Time Price Put Price Value Value Put (Rs.) (Rs) March Intrinsic Time April Intrinsic Time Value Put Value Value Value Price Price (Rs) (Rs) 500 0.50 3 5.5 550 2.50 9.5 14.5 600 17.5 28 34 650 59 62 66 700 109 109 109

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

Section: Chapter Questions

Problem 1PS

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A call option with a current value of $6.20. A put option with a current value of $6.70. Both options written on the same stock and both with 1 year until expiration. The current price of the stock is $52.00 and the prevailing risk-free rate is 7.00%. What must be the striking price of either option?
(c) A put option with a 420-exercise price on the FTSE 100 Index is currently at 11.75. The FTSE 100Index is at £411.79. Find the intrinsic value and the time value of this option.
The following are call option premiums and futures settlement prices for ICE cotton. These prices were quoted on December 16th, 200X. These prices are used in problems 25 through 29 (recopied here for your convenience). Strike Price (cents/lb)_ 48.00 49.00 50.00 51.00 52.00 53.00 Futures close 6 18 12 24 Mar-OX none of the above. 2.56 1.98 1.48 1.09 .78 .55 49.60 May-OX QUESTION - Based on the above price data, there are. represented among both the Mar-OX and May-OX contracts. 6.14 5.33 4.59 3.92 3.31 2.74 53.69 individual options contracts being
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
The following table lists prices of Amazon options in January 2018 when Amazon stock was selling for $1,200. Exercise Price Expiration Date April 2018 Call Price Put Price $ 31.10 $1,200 1,300 1,400 $1,200 1,300 1,400 $1,200 1,300 1,400 $132.70 73.20 70.10 134.20 $ 53.55 96.00 33.00 July 2018 $161.70 104.00 62.55 156.05 January 2019 $210.00 $ 88.05 155.35 133.25 112.00 190.00 Suppose that by January 2019, the price of Amazon could either rise from its January 2018 level to $1,200 × 1.25 = $1,500.00 or fall to $1,200/1.25 = $960.00. a. What would be your percentage return on a January expiration call option with an exercise price of $1,200 if the stock price rose? (Round your answer to 2 decimal places.) b. What would be your percentage return if the stock price fell? (Negative value should be indicated by a minus sign.) c. Which is riskier: the stock or the option? a. Percentage return b. Percentage return Which is riskier: the stock or the option? % (100) % Option C.
The following table lists the options on Amazon shares in January 2018 when Amazon stock was selling for $1,210. Exercise Price $1,210 1,310 1,410 Expiration Date July 2018 Call Price $161.90 104.10 62.65 a. Call option with exercise price of $1,210 b. Put option with exercise price of $1,210 C. Call option with exercise price of $1,310 d. Put option with exercise price of $1,310 e. Call option with exercise price of $1,410 f. Put option with exercise price of $1,410 Use the data in the table to calculate the payoff and the profits for investments in each of the following July maturity options, assuming that the stock price on the expiration date is $1,305. (Negative amounts should be indicated by a minus sign. Round your "Profit" answers to 2 decimal places.) Put Price $53.56 96.10 156.15 Payoff Profit
Which of the following call options on XYZ stock is most valuable? 1. Strike price = $ 40, 3 months to expiration 2. Strike price = $ 40, 3 months to expiration 3. Strike price = $ 50, 6 months to expiration 4. Strike price = $ 50, 6 months to expiration
Calculate the leverage from holding a call option with a closing price of $3 on February 18 and a closing price of $6.5 on April 6. The stock price on February 18 was $22 and closed at $27 on April 6.
Maturity (days) Strike 66 Part1: SO 620 595.9355586 ● r (annualized) O 0.056329721 11% Option Type Call Use the data you are provided with on blackboard to replicate and interpret the following figures Call price as a function of the current underlying price S0 or put price as a function of the current underlying price SO depending on the data assigned to you. Carefully interpret the figures. Make sure you are not simply describing the figures but that you are answering the question of why we observe the pattern
Show graphically and in a table the profit and futures price relationships at expiration for the following positions on a November corn futures options with an exercise price of $4.00/bushel, contract size of 5,000 bushels, and call and put prices of $0.50/bushel. Include in your graphical analysis and table futures prices of $3.00, $3.25, $3.50, $3.75, $4.00, $4.25, $4.50, $4.75, $5.00, $5.25, and $5.50: a. Call purchase b. Put purchase c. Straddle write (Evaluate from prices from $2.50 to $5.50 by steps of $0.25)
The April 2007 expiration put option on AELZ with an exercise price of K95 selling on March 2, 2007 for K4.90 . If AELZ sells at K9090 , what will be the net proceeds? If AELZ sells for K88 at expiration, what will be the value of the option at expiration, and how much profit would the investor make?

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