Assume You Purchased a Stock for $42 a Share

question 50

Essay

Assume you purchased a stock for $42 a share.The stock is currently worth $48 a share.You just wrote a $50 call option on the stock with an option price of $.50.What value are you placing on this stock?

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Definitions:

Defendant

An individual, company, or institution being sued or accused in a court of law.

Impartial Jury

A jury that is unbiased and without prejudice, chosen to ensure a fair and just trial by providing an objective judgement.

District Court

is a type of court of the United States federal court system, where trials and lawsuits are initially filed and heard.

In Personam Jurisdiction

The power of a court to require that a party (usually the defendant) or a witness come before the court; extends to the state’s borders in the state court system and across the court’s geographic district in the federal system. Also called personal jurisdiction and jurisdiction in personam.