Net economic gain or loss

An investor plans to sell 100 shares of ABC Corp stock in six months She is worried the stock price may fall significantly over the next six months The spot price of the stock is $6536 and she buys a six month put with a strike of $60 for $0541 per share At expiration the stock is at $5593.

What is the net economic gain or loss on the entire stock & Option portfolio?

An investor plans to sell 100 shares of ABC Corp stock in six months She is worried the stock price may fall significantly over the next six months The spot price of the stock is $6668 and she buys a six-month put with a strike of $60 for $12294 per share At expiration the stock is at $5761.

What is the net economic gain or loss on the entire stock&option portfolio?

Assume that youare the CEO of a multi-national company

What is the first thing you consider when selecting a model to use in an upcoming merger, joint venture, or acquistion? Why? How will this consideration assist you in selecting the best model for the situation?

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