You purchased five call option contracts with a strike price of $32 and an option premium of $1.50. You closed your contract on the expiration date when the stock was selling for $36 a share. What is your total profit or loss on your option position? Multiple Choice $2,000 $1,250 -$2,000 -$1,250 $2,750
You purchased five call option contracts with a strike price of $32 and an option premium of $1.50. You closed your contract on the expiration date when the stock was selling for $36 a share. What is your total profit or loss on your option position? Multiple Choice $2,000 $1,250 -$2,000 -$1,250 $2,750
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
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Transcribed Image Text:You purchased five call option contracts with a strike price of $32 and an option premium of $1.50. You closed your contract on the expiration
date when the stock was selling for $36 a share. What is your total profit or loss on your option position?
Multiple Choice
$2,000
$1,250
-$2,000
-$1,250
$2,750
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