You sold to open 10 25-strike calls for $2.10 each on a stock you own. You own 1,200 shares of the stock, which is currently trading at $23.66. The stock rises to $$25.41 and 1,000 shares are called at $25. What is your total return? (Ignore taxes and transaction costs).

EBK CFIN
6th Edition
ISBN:9781337671743
Author:BESLEY
Publisher:BESLEY
Chapter7: Stocks (equity) - Characterstics And Valuation
Section: Chapter Questions
Problem 2PROB
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You sold to open 10 25-strike calls for $2.10 each on a stock you own. You own 1,200 shares of the stock, which is currently trading at $23.66. The stock rises to $$25.41 and 1,000 shares are called at $25. What is your total return? (Ignore taxes and transaction costs).

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