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
A. $300 profit
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In the CAPM, a stock has a beta coefficient of 0.1. The average returns to all stocks in the market is 10%. If the interest rate on three-month T-bills is at around 2 percent, what is the expected return to this stock? Assume that unsystematic risk is zero.
A. 2.5 percent B. 5.0 percent C. 7.5 percent D. 10.0 percent
________ refers to the decline in per unit product costs as the absolute volume of production per period increases
A) Economies of scale B) Economies of scope C) Diseconomies of scale D) Diseconomies of scope
At a Stern-Stewart conference, one of the topics discussed was "taking EVA to the shop floor." This session described "driving EVA analysis, decision making and incentives down through every level of an organization." If you were attending this session, what questions would you ask the panelists?
What will be an ideal response?
Explain the function of the two parts of the TCP/IP protocol