You purchased five CVB call option contracts with a strike price of $40 when the option was quoted at $3.65.The option expires today when the value of CVB stock is $43.Ignoring trading costs and taxes,what is your total profit on your investment?
A)$0
B)−$325
C)$800
D)$1,500
E)−$1,825

Question

Quizplus · Accepted Answer

The Answer of You purchased five CVB call option contracts with a strike price of $40 when the option was quoted at $3.65.The option expires today when the value of CVB stock is $43.Ignoring trading costs and taxes,what is your total profit on your investment?
A)$0
B)−$325
C)$800
D)$1,500
E)−$1,825

You Purchased Five CVB Call Option Contracts with a Strike