(a)
To Discuss:
To locate the 52-week range for GE.
Introduction:
The lowest and the highest price at which the stock has traded in the previous 52 weeks is shown by the 52-week range.
(b)
To Discuss:
The price at which GE last traded.
Introduction:
The last price at which a trade occurred in a futures contract is known as the last traded price.
(c)
To Discuss:
The last price shown for the call option.
Introduction:
The last price at which a trade occurred in a futures contract is known as the last traded price.
(d)
To Discuss:
Determine if the call option is in the money.
Introduction:
If an option contract has intrinsic value then it is said to be in the money.
(e)
To Discuss:
To draw a graph that shows the payoff and the profit to the holder of this call optionovera range of prices,including the prices found in the 52-week range of the S&P stock report.
Introduction:
Payoff graph is a good way to understand the
(f)
To Discuss:
To repeat the steps for a put option on GE with the same expiration date and the same strike price.
Introduction:
The last price at which a trade occurred in a futures contract is known as the last traded price.
If an option contract has intrinsic value then it is said to be in the money.
Payoff graph is a good way to understand the profits and losses with a strategy.
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