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Question: A call option on D stock specifies an exercise price of $77. Today the stock's price is $72 per share. The premium on the call option is $4. Assume the option will not be exercised until maturity, if at all. Complete the following table for a speculator who purchases the call option:

Assumed Stock Price at the Time Net Profit or Loss per Share

the Call Option Is About to Expire to Be Earned by the Speculator

$75

$76

$77

$78

$80

$82

$84

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Category:- Basic Finance
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