Stock in Cheezy-Poofs Manufacturing is currently priced at $65 per share. A call option with a $65 strike and 90 days to maturity is quoted at $2.50. Compare the percentage gains and losses from a $16,250 investment in the stock versus the option in 90 days for stock prices of $55, $65, and $75. Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Leave no cells blank - be certain to enter "O" and select "None" wherever required. Input all amounts as positive values. Options % gain or loss $ 55 $ 65 $ SA 75 Stock % gain or loss
Stock in Cheezy-Poofs Manufacturing is currently priced at $65 per share. A call option with a $65 strike and 90 days to maturity is quoted at $2.50. Compare the percentage gains and losses from a $16,250 investment in the stock versus the option in 90 days for stock prices of $55, $65, and $75. Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Leave no cells blank - be certain to enter "O" and select "None" wherever required. Input all amounts as positive values. Options % gain or loss $ 55 $ 65 $ SA 75 Stock % gain or loss
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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Transcribed Image Text:Stock in Cheezy-Poofs Manufacturing is currently priced at $65 per share. A call option with a $65 strike and 90 days to maturity is
quoted at $2.50. Compare the percentage gains and losses from a $16,250 investment in the stock versus the option in 90 days for
stock prices of $55, $65, and $75.
Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Leave no cells blank -
be certain to enter "O" and select "None" wherever required. Input all amounts as positive values.
Options % gain or loss
$
55
$
65
$
SA
75
Stock % gain or loss
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