Pricing and Valuation of Options sample question
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CFA Level I sample question
CFA Level I Pricing and Valuation of Options question
Derivatives
Pricing and Valuation of Options
An investor writes a European call option with an exercise price of USD 90.00 and receives a premium of USD 5.60 per share. At expiration, the underlying stock trades at USD 97.00. Ignoring transaction costs, the writer's profit per share and the breakeven underlying price at expiration are, respectively, closest to:
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