Call option on exxon at a premium
Course:- Financial Management
Reference No.:- EM13891879

Assignment Help
Assignment Help >> Financial Management

On January 11, 2015, I purchased a call option on Exxon at a premium of $14.5, exercise price of $50 and March 15, 2007 maturity. On January 21,2015, I closed my position by buying a put option on Exxon at a premium of $8.5, exercise price of $50 and March 15,2015 maturity. Is my original position closed?

Comment critically

Show detailed work

Put your comment

Ask Question & Get Answers from Experts
Browse some more (Financial Management) Materials
At year-end 2013, Wallace Landscaping total assets were $1.8 million and its accounts payable were $370,000. Sales, which in 2013 were $2.1 million, are expected to increase b
Debt: 8500 bonds, outstanding with a 7.2% coupon, $1000 par value, 25 years to maturity, current market yield is 5,82%, coupons made semi-annually. What is the total market va
You have developed a new a new recreational tennis racket with tennis great Jimmy Connors. You have paid Jimmy Connors for his involvement in the project $250,000. The racket
Due to an accident, you will be compensated with $1000 every year for three years and $2000 every year thereafter for another three years. How much would you be willing to tak
Suppose the spot exchange rate between the Swedish Krona (SKr) and the British pound (GBP) is the one under Key Currency Cross Rates in the quotes from the Wall Street Journal
Snyder Computers Inc. is experiencing rapid growth. Earnings and dividends are expected to grow at a rate of 15% during the next 2 years, at 13% the following year, and at a c
You own a portfolio that has $2,150 invested in Stock A and $3,200 invested in Stock B. If the expected returns on these stocks are 10 percent and 17 percent, respectively, wh
The Cement Corp is planning to replace an existing assembly with a more modern version. the old equipment was purchased 5 years ago for $500,000 and depreciated to a zero valu