What is the net profit from buying the call just prior to 4


A call option on Mass Computer Corp. is trading with a strike price of $100 and an expiration date of November 18th at 4 pm in the afternoon. The premium paid on the call is $3.95. What is the net profit (where net profit includes the premium in the calculation) from buying the call just prior to 4 pm on November 18 if at this time the stock price per share of MassComputer is:

a.$106.62

The net profit is $:-

b.$96.52

The net profit is $:-

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Financial Management: What is the net profit from buying the call just prior to 4
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