Lew Paid $300 to Purchase a Call on Delta Stock

question 97

Multiple Choice

Lew paid $300 to purchase a call on Delta stock with a strike price of $25. What does the market price of Delta have to be for Lew to break-even on his option investment? Ignore transaction costs and taxes.

• A) $22
• B) $25
• C) $28
• D) cannot be determined from the information provided

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