You are bullish on AMC. You have decided to purchase 1 call contract with a...
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You are bullish on AMC. You have decided to purchase 1 call contract with a June expiration and strike price of 10. 1. You paid $3 for the contact. What was the total dollar amount you paid? 2. Assuming AMC moves to $14 at expiration what will the value of the option be at expiration? 3. What will the profit be? 4. Compare the profit you calculated above to profit if you bought 100 shares of $10 and sold@14. Give the dollar return and the % return. 5. If the stock goes to 9 at expiration how much will the option he worth
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