### What is your annualized return from these two investments

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##### Reference no: EM13846272

Suppose you have \$60,000 to invest. You’re considering Miller-Moore Equine Enterprises (MMEE), which is currently selling for \$60 per share. You also notice that a call option with a \$60 strike price and six months to maturity is available. The premium is \$3. MMEE pays no dividends. What is your annualized return from these two investments if, in six months, MMEE is selling for \$68 per share? What about \$56 per share? (Negative values should be indicated by a minus sign. Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places. Omit the "%" sign in your response.)

Annualized Return          Stock                     Option

\$68 per share     %            %

\$56 per share     %            %

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