What Is the Value of One August 25 Call Option

question 87

Multiple Choice

What is the value of one August 25 call option contract?

• A)$4.60
• B)$.10
• C)$615
• D)$10
• E)$6.15

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Definitions:

Close Substitutes

Goods or services that can easily replace each other in consumption, affecting consumer choice and market competition.

Quantity Demanded

The aggregate quantity of a product or service that buyers are prepared to buy at a given price point.

Quantity Demanded

The total amount of a good or service that consumers are willing and able to purchase at a specific price level and at a given time.

Quantity Supplied

Quantity supplied refers to the amount of a good or service that producers are willing and able to sell at a given price over a specific period.