Return on stock optionsteresa purchased a call option on a, Ask an Expert

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Return on Stock Options.

Teresa purchased a call option on a stock for ?$144. The option allows her to purchase the stock for ?$36.03 per share if she exercises the option by December 31st. On December? 15th, the stock rises to ?$65.89 per share and Teresa exercises the option. What is? Teresa's return? ?(?Hint: Ignore transaction? costs.) ?Teresa's return is

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92425815

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