Multiple Choice
The price of a stock on July 1 is $57.A trader buys 100 call options on the stock with a strike price of $60 when the option price is $2.The options are exercised when the stock price is $65.The trader's net profit is
A) $700
B) $500
C) $300
D) $600
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q4: The price of a stock on February
Q5: An investor sells a futures contract an
Q6: Which of the following describes European options?<br>A)
Q7: The price of a stock on February
Q8: A company knows it will have to
Q10: A trader has a portfolio worth $5
Q11: Which of the following is approximately true
Q12: A speculator can choose between buying 100
Q13: A short forward contract on an asset
Q14: Which of the following best describes the