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Use These Option Quotes to Answer This Question:
ZZ Industries

Question 80

Multiple Choice

Use these option quotes to answer this question:
ZZ Industries: Price 34.36
Calls:
 Strike  Symbol Last Chg  Bid  Ask  Vol  open Int 30.00 ZZBF 4.30.074.304.40623,42932.50 ZZBZ 1.87.071.821.872368,16835.00 ZZBG .01.05.00.01311938,017\begin{array}{ccccccc}\text { Strike }&\text { Symbol}&\text { Last}&\text { Chg }&\text { Bid }&\text { Ask }&\text { Vol }&\text { open Int }\\30.00 & \text { ZZBF } & 4.30 & \downarrow .07 & 4.30 & 4.40 & 62 & 3,429 \\32.50 & \text { ZZBZ } & 1.87 & \downarrow .07 & 1.82 & 1.87 & 236 & 8,168 \\35.00 & \text { ZZBG } & .01 & \downarrow .05 & .00 & .01 & 3119 & 38,017\end{array}


Puts:
 Strike  Symbol  Last  Chg  Bid  Ask  Vol  Open Int 30.00 ZZNF .01.00.00.0107,25832.50 ZZNZ .01.02.00.0156234,97235.00 ZZNG .60.14.63.68263719,686\begin{array}{lcccccrr}\text { Strike } & \text { Symbol } & \text { Last } & \text { Chg } & \text { Bid } & \text { Ask } & \text { Vol } & \text { Open Int } \\30.00 & \text { ZZNF } & .01 & .00 & .00 & .01 & 0 & 7,258 \\32.50 & \text { ZZNZ } & .01 & \downarrow .02 & .00 & .01 & 562 & 34,972 \\35.00 & \text { ZZNG } & .60 & \downarrow.14 & .63 & .68 & 2637 & 19,686\end{array}



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You want to sell five call option contracts on ZZ Industries stock at a strike price of $32.50 a share. How much will you receive in option premiums if you place this order today?


A) $300
B) $1,290
C) $910
D) $728
E) $546

Correct Answer:

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