Multiple Choice
You write one MBI July 120 call contract (equaling 100 shares) for a premium of $4. You hold the option until the expiration date, when MBI stock sells for $121 per share. You will realize a ________ on the investment.
A) $300 profit
B) $200 loss
C) $600 loss
D) $200 profit
Correct Answer:

Verified
Correct Answer:
Verified
Q28: An American put option gives its holder
Q29: A covered call strategy benefits from what
Q30: You buy a call option on Summit
Q31: You are cautiously bullish on the common
Q32: Exchange-traded stock options expire on the _
Q34: The writer of a put option _.<br>A)
Q35: Which one of the statements about margin
Q36: Which of the following expressions represents the
Q37: A time spread may be executed by
Q38: The initial maturities of most exchange-traded options