Let 10 100 rs 6 month 110 call 652 6 month 120 call 367 6


Let 10%, $100 rS , 6 month 110 call $6.52, 6 month 120 Call $3.67, 6 month 90 put $2.64, 6 month 100 put $6.03.

Find the price range such that you make money 6 months later under each of the following cases. (Don't forget time value.)

a) long 1 share

b) long 1 6-month 110 call (each option is on 1 share)

c) sell 1 6-month 120 call (each option is on 1 share)

d) long 1 6-month 110 call and long 1 6-month 120 call

e) long 1 6-month 90 put

f) sell 1 6-month 100 put 

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Finance Basics: Let 10 100 rs 6 month 110 call 652 6 month 120 call 367 6
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