You purchased XYZ stock at $50 per share. The stock is currently selling at $65. Your gains could be protected by placing a _________.    Group of answer choices   limit buy order limit sell order market order stop-loss order

Q: C. HSBC Call option: option price 3, strike price 44. Calculate the profit from selling a call…

A: When a call option is sold you received a premium for it and have an obligation to buy stock

Q: You are long 1000 shares of XYZ stock. You want to stay in the position but are afraid of a move…

A: a. A covered call is a two-step technique in which calls are sold on a share-for-share basis while…

Q: Explanation of Solution Determine the increase in stock price Stock Pr ice = [EPS × PERatio] -…

A: EPS is calculated using the Pat i.e. Net Profit after Tax divided by the No. of the company's shares…

Q: Consider the following limit order book for FinTrade stock. The last trade in the stock occurred at…

A: Shares are created from a company's capital. Equity shares and preference shares are the two basic…

Q: The book in ABC stock is Trader Elin Sophia Will Ask Ask Ask Bid Bid Bid Ellen Ada David Time 9:45…

A: The problem case focuses on calculating the average purchase price of the shares. In the market,…

Q: stock has a spot price of $55 Its May options are about expoire.One of ItS , puts is worth S5 and…

A: Options are derivative contracts whose value depends on the value of the underlying assets. The…

Q: You sold short IBM stock when it was trading at $150 per share. You can reduce your exposure to…

A: By taking short or long position of stock while trading through exchange will help the investor to…

Q: You buy an “at the money” April call option on M&M Corp. common stock, which has a strike price of…

A: ATM calls and puts have a striking price that is equal to or extremely near to the current market…

Q: Required: a. If a market buy order for 125 shares comes in, at what price will it be filled? (Round…

A: A limit order book is a record of all outstanding limit orders in a financial market, such as a…

Q: 1. Assume that you want to secure a purchase at strike price and you have the following information…

A: Strike Price is $50 Put Premium is $6 Call Premium is $7 Probable Market Value at Maturity is…

Q: Assume that a stock-issuing firm has a choice between a private placement selling the shares for…

A: Data given: Price of share through private placement=$47.50 per share   Probability Selling Price…

Q: You have the following share price of XYZ.   DATE Price 2-Mar-2021 $100 3-Mar-2021 $60…

A: Geometric average rate of return will be calculated considering return in each period. Following is…

Q: Describe the following in placing purchase or sale orders in the stock market: Market Limit Stop…

A: Further with the advent of digital technology and the internet, more investors are electing to…

Q: A customer buys 1 CBS Jan 60 Put at $7 and sells 1 CBS Jan 55 Put at $5 when the market price of CBS…

A: A put option is a right to the put option buyer but not an obligation to sell the underlying asset…

Q: shot to complete the table and answer the questions that follow. GRAB GOOG US Equity 95) Actions…

A: Options are derivative products and that are related to stock prices and gives the opportunity to…

Q: When you place a limit order, it means you are willing to buy or sell the stock at the best price…

A: limit order allows  to purchase or sell a shares at the price you have set or a better price. For…

Q: A Google Call: option price3D3, strike price 100. Calculate the profit from buying a call option on…

A: Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only one…

Q: short seller anticipates the stock price will __________, so that the share can be purchased later…

A: In case of short selling, shares are short sold with the anticipation of share price falling and…

Q: I'm not sure whether I add or subtract the common stock, $80 par and the excess over par.

A: Stockholders’ Equity Section: It is refers to the section of the balance sheet that shows the…

Q: Dawnguard Hotel Group       Current Stock Price $75.00                  Required:         Using the…

A: Solution:- Intrinsic value of an option means the value upto which it is in the money. Intrinsic…

Q: You have placed a buy market-on-open order - a market order that would automatically be submitted at…

A: Execution instructions means how to fill the order which defines the ways through which orders can…

Q: An investor owns a stock that is currently valued at $45.80 a share. She is concerned that the stock…

A: A protective put is strategy where the investor is bullish and already owns a stock, to hedge…

Q: Whats the profit of the "Straddle" when stock price is $15, $20, $25, $30, $35, $40, $45, $50, $55,…

A: In the given question we require to calculate the profit of the "Straddle" when stock price is $15,…

Q: Compute the value of a call option for company X based on the following details: Stock price =…

A: Call option gives opportunity to buy stocks on expiration but there is no obligation to do that…

Q: How would you set up a covered call position on ABC stock that you don't already own?   A. Sell…

A: An option is a contract that offers the buyer the right to buy or sell a particular asset at a…

Q: A. Google Call: option price =3, strike price = 100. Calculate the profit from buying a call option…

A: Option Price = 25 Strike Price = 1385 Terminal Price = 1400

Q: Based on the table, compute the 1. value of the call option 2. value of the put option. Contract…

A: Given: Particulars   Current stock price 78.25 Standard deviation 36% Risk free rate 6.00%…

Q: Suppose a August call option to buy a share for $ 25 costs $2 . In your call option profit diagram…

A: in the profit diagram of call price are plotted on X axis and profit/Loss is shown on Y axis.

Q: Given: -Pears Inc. stock trades at $86/share -European options on the stock are available: Options…

A: A short call refers to the strategy of selling a call option, which gives the seller the obligation…

Q: If you transmit a market buy order to the stock exchange, will you buy at the bid or the ask? a.…

A: The process of placing a market buy order on a stock exchange: When an investor places a market buy…

Q: Option Trading Strategies - Two Assets $40 First Asset Profit Second Asset Profit Total Profit - 1st…

A: As per Bartleby guidelines, If multiple questions are posted, only the first 1 question will be…

Q: Apple Inc. put options with a strike price of $260 are trading at a premium of $12. Apple shares are…

A: Strike Price is $260 Put option premium is $12 Current Share price is $245   Formula to be Used:-…

Q: Option Trading Strategies - Two Assets $40 First Asset Profit Second Asset Profit Total Profit 1st…

A: In case of a Long put, Payoff is (exercise price - Stock price,0), I,e option is exercised only if…

Q: Suppose you have purchased a Costco stock, which type of option should be chosen for hedging? Based…

A: Information provided: Risk free rate = 3% Volatility = 30% Time to maturity = 4 months Stock price =…

Q: Shark Co. is planning to acquire Goldfish Co. by using its own stock. The following information is…

A: P/E ratio means Price earnings ratio.It is computed by following formula:-P/E ratio = whereMPS =…

Q: Question 1 How much will an investor pay for a preferred stock that pays a $0.50 per share dividend…

A: Dividend receivable = $ 0.50Required rate of return = 11.5% Formula = Dividend/ Required rate of…

Q: for $25 put, and $5.5 for $30 put. Use graphs to illustrate the profit pattern of this spread. What…

A: The maximum gain of the spread occurs when the stock price is equal to the middle strike price ($25…

Q: use attachment to answer question q2- This question relates to Diagram 2 from the 9.4 diagrams,…

A: Given, Beta = 0.5 Expected return = 5%

Q: Calculate Duolingo’s underpricing if the offer price equals $102 and the closing price on the first…

A: Formula for calculating underpricing  = [(Pm –Po)/Po]*100   where Pm is the price of the stock at…

Q: Suppose you own a put option on Apple stock with a strike price of $150. Suppose it is the…

A: Stock price at expiration = $75Exercise price = $150

Q: Given all of the information in the table below, which stock seems to be the most expensive?…

A: A financial ratio, also known as an accounting ratio, is the difference in size between two specific…

Q: The following limit orders for the XYZ stock have been submitted to the opening auction the LSE: XYZ…

A: The term "market clearing price" refers to the price at which the quantity demanded in the market…

Q: Stock Price to Profit  You buy an “at the money” April call option on M&M Corp. common stock, which…

A: Stock price is $40 Strike price is $40 Call option premium is $3.15   To find: Prices at which…

Q: Price Size 84.77 200 84.76 100 84.75 400   Limit Sell Order Price  Size 84.79 100 84.80 300

A: Limit Order - It is the triggered price wherein the investor is actually wants to purchase of sold…

Q: Whats the profit of the "Bearish Put Spread" when stock price is $25, $30, $35, $40, $45, $50, $55,…

A: In the given question we need to compute the profit of the "Bearish Put Spread"