Essay
Answer the questions given the following information:
a. Is the call "out" of the money?
b. What is the time premium paid for the call?
c. What is the maximum possible loss from buying the call?
d. What is the maximum profit the buyer of the call can earn?
e. What is the maximum profit the seller of the call can earn?
Correct Answer:

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The call is in the money: $52 ...View Answer
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Correct Answer:
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