Consider the following information on options from the CBOE for Rackspace. RAX 30.09 +0.48...

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Finance

Consider the following information on options from the CBOE for Rackspace.

RAX 30.09 +0.48

12/3/10 Bid 30.07 Ask 30.09

Calls

Last Sale

Net

Bid

Ask

Vol

Open Int

RAX 10 Dec 29

1.25

0

1.5

1.7

0

1436

RAX 10 Dec 30

1.05

0.27

0.95

1.1

5

2245

RAX 10 Dec 31

0.6

0.15

0.55

0.7

13

485

RAX 10 Dec 32

0.45

0

0.3

0.4

0

74

RAX 11 Jan 29

1.7

0

2.25

2.5

0

872

RAX 11 Jan 30

1.87

0.02

1.75

2

30

523

RAX 11 Jan 31

1.41

0.06

1.3

1.5

3

85

RAX 11 Jan 32

1.2

0

0.95

1.1

0

117

Puts

Last Sale

Net

Bid

Ask

Vol

Open Int

RAX 10 Dec 29

0.6

minus?0.2

0.5

0.7

1

750

RAX 10 Dec 30

1.19

0

0.95

1.1

0

521

RAX 10 Dec 31

2.05

0

1.55

1.7

0

31

RAX 10 Dec 32

0

0

2.15

2.5

0

0

RAX 11 Jan 29

1.85

0

1.45

1.7

0

1205

RAX 11 Jan 30

0

0

1.95

2.2

0

150

RAX 11 Jan 31

0

0

2.55

2.7

0

100

RAX 11 Jan 32

0

0

3.1

3.4

0

0

Assume you want to sell 20 call option contracts with an exercise price closest to being at?the?money and that expires January 2011. The current price that you would receive for such a contract? is:

A. ?$4000

B. ?$2600

C.?$3900

D.?$3500

E.?$4500

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