A protective put is a strategy in which the losses are limited on the bearish side, and the profits are unlimited on the bullish side. Create an excel spreadsheet to keep track of your profit\loss at various stock prices Assume you have a portfolio of 100 shares and you were afraid that the price will go down, thus, you have purchased a June put option with exercise price X=125, Assume that the current stock price is 125.94

Quickbooks Online Accounting
3rd Edition
ISBN:9780357391693
Author:Owen
Publisher:Owen
Chapter5: Operating Activities: Purchases And Cash Payments
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A protective put is a strategy in which the losses are limited on the bearish side, and the profits are unlimited on the bullish side. Create an excel spreadsheet to keep track of your profit\loss at various stock prices

Assume you have a portfolio of 100 shares and you were afraid that the price will go down, thus, you have purchased a June put option with exercise price X=125, Assume that the current stock price is 125.94.

 

CALLS
PUTS
EXERCISE PRICE
MAY
JUNE
JULY
MAY
JUNE
JULY
120
8.75
15.40
20.90
2.75
9.25
13.65
125
5.75
13.50
18.60
4.60
11.50
16.60
130
3.60
11.35
16.40
7.35
14.25
19.65
Transcribed Image Text:CALLS PUTS EXERCISE PRICE MAY JUNE JULY MAY JUNE JULY 120 8.75 15.40 20.90 2.75 9.25 13.65 125 5.75 13.50 18.60 4.60 11.50 16.60 130 3.60 11.35 16.40 7.35 14.25 19.65
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