Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. you write one ibm july 131 call contract for a pre

You write one IBM July 131 call contract for a premium of $7. You hold the...

50.1K

Verified Solution

Question

Finance

You write one IBM July 131 call contract for a premium of $7.You hold the option until the expiration date, when IBM stock sellsfor $134 per share. You will realize a ______ on theinvestment.

A. $400 profit

B. $300 loss

C. $1,000 loss

D. $300 profit

Answer & Explanation Solved by verified expert
3.7 Ratings (720 Votes)
SEE THE    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Transcribed Image Text

You write one IBM July 131 call contract for a premium of $7.You hold the option until the expiration date, when IBM stock sellsfor $134 per share. You will realize a ______ on theinvestment.A. $400 profitB. $300 lossC. $1,000 lossD. $300 profit

Other questions asked by students

Q

how you would implement a new payroll system for a largeretail organization that will...

Accounting
Q

1.) Explain the difference between a time domain signal and a frequency domain signal. 2.) When would...

Electrical Engineering
Q

Drag the correct term to the correct definition. Condensed area of DNA found within prokaryotic...

Biology
Q

13 A current carrying power line carries current fro east to west The direction of...

Physics
Q

The amount y (in dollars) that you raise by selling x fundraiser tickets is represented...

Basic Math
Q

Dakota and Justine are training to be in the Sweat for Fun Run. They ran...

Basic Math
Q

Solve the inequality and write your answer in interval notatio 12x 15 24 5x

Statistics
Q

Add the polynomials 3 P 1 P 4 7 P 0P 7 D 1 P...

Algebra
Q

9 144 11

Algebra
Q

Financial data for Stirling, Inc., for last year are as follows Stirling, Inc. Balance Sheet...

Accounting
Q

5.5 pts Thornbrough Corporation produces and sells a single product with the following characteristics: Per...

Accounting
Q

Required information Problem 07-40 (LO 07-2) (Algo) [The following information applies to the questions displayed...

Accounting