Underlying Stock Price: 45

question 180

Multiple Choice

Underlying stock price: 45.80 Suppose you bought 10 Glaxo Oct 45 call contracts. Just before the option expires, the stock is selling for $50. What is your net profit (or loss) ? Ignore transaction costs.

• A) -$220.
• B) $1,200.00
• C) $1,600.00
• D) $2,200.00
• E) $5,000.00

---

Definitions:

Hedonist Principle

The concept suggesting that people are motivated to seek pleasure and avoid pain.

Self-Serving Decisions

Decisions made with the primary aim of benefiting oneself, often ignoring or disadvantaging others.

Ethical Principles

The foundational concepts that guide moral conduct in various fields, ensuring actions and decisions meet established standards of right and wrong.

Proximity

The state of being near or next to something, often influencing relationships and interactions through the physical closeness or distance between people or objects.