Josh owns 2 call options on Foster Glass stock.The exercise price is $47.50 and the stock price at expiration is $49.01.What is the total payoff on the option contracts?
A) -$0.00
B) -$3.02
C) $3.02
D) $30.20
E) $302.00

Name: Josh owns 2 call options on Foster Glass stock.The exercise price is $47.50 and the stock price at expiration is $49.01.What is the total payoff on the option contracts? A) -$0.00 B) -$3.02 C) $3.02 D) $30.20 E) $302.00
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Question

Quizplus · Accepted Answer

Payoff = 2 × 100 × ($49.01 - $47.50) = $302

Josh Owns 2 Call Options on Foster Glass Stock