Required: Refer to Figure 15.1, which lists the prices of various Microsoft options. Use the data in the figure to calculate the expiration value and the profit or loss for investments in each of the following November 2022 expiration options on a single share, assuming that the stock price on the expiration date is $235. Note: Loss amounts should be indicated by a minus sign. Round "Profit or Loss" to 2 decimal places. a. Call option, X = 230 b. Put option, X = 230 c. Call option, X = 240 d. Put option, X = 240 Payoff Profit or Loss Stock options on Microsoft, October 7, 2022 Microsoft (MSFT) Underlying stock price = $234.14 Expiration Strike Call Put 21-October-2022 230 9.40 4.92 21-October-2022 235 6.47 7.05 21-October-2022 240 4.15 9.75 18-November-2022 230 14.87 10.22 18-November-2022 235 12.05 12.40 18-November-2022 240 9.50 14.90
Required: Refer to Figure 15.1, which lists the prices of various Microsoft options. Use the data in the figure to calculate the expiration value and the profit or loss for investments in each of the following November 2022 expiration options on a single share, assuming that the stock price on the expiration date is $235. Note: Loss amounts should be indicated by a minus sign. Round "Profit or Loss" to 2 decimal places. a. Call option, X = 230 b. Put option, X = 230 c. Call option, X = 240 d. Put option, X = 240 Payoff Profit or Loss Stock options on Microsoft, October 7, 2022 Microsoft (MSFT) Underlying stock price = $234.14 Expiration Strike Call Put 21-October-2022 230 9.40 4.92 21-October-2022 235 6.47 7.05 21-October-2022 240 4.15 9.75 18-November-2022 230 14.87 10.22 18-November-2022 235 12.05 12.40 18-November-2022 240 9.50 14.90
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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Question
please answer accuretly, do not give me the wrong answer
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Transcribed Image Text:Required:
Refer to Figure 15.1, which lists the prices of various Microsoft options. Use the data in the figure to calculate the expiration value and
the profit or loss for investments in each of the following November 2022 expiration options on a single share, assuming that the stock
price on the expiration date is $235.
Note: Loss amounts should be indicated by a minus sign. Round "Profit or Loss" to 2 decimal places.
a. Call option, X = 230
b. Put option, X = 230
c. Call option, X = 240
d. Put option, X = 240
Payoff
Profit or Loss
Transcribed Image Text:Stock options on Microsoft, October 7, 2022
Microsoft (MSFT)
Underlying stock
price = $234.14
Expiration
Strike
Call
Put
21-October-2022
230
9.40
4.92
21-October-2022
235
6.47
7.05
21-October-2022
240
4.15
9.75
18-November-2022
230
14.87
10.22
18-November-2022
235
12.05
12.40
18-November-2022
240
9.50
14.90
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