You Bought a Call Option with a Strike Price of $40.What

question 70

Multiple Choice

You bought a call option with a strike price of $40.What is your total payoff on this option contract if the underlying stock is selling for $42.70 on the option expiration date?

• A) $3.00
• B) $70.00
• C) $133.00
• D) $233.00
• E) $270.00

---

Definitions:

Time Delay

A pause or latency period introduced in a process or communication, commonly used in electronics and programming to manage timing.

Energized

A state in which an electrical component or circuit has power supplied to it and is operational.

TOF Timer

A type of PLC timer that measures the "Time-Off-Fall" or the time it takes for a signal to turn from on to off.