Question

A call option is selling at the strike price of dollar 500, with a premium on the option of dollar 50. If the investor wants to attain break even at the time maturity

Answer 1

Explanation:

• A break-even price is the amount of money, or change in value, for which an asset must be sold to cover the costs of acquiring and owning it. It can also refer to the amount of money for which a product or service must be sold to cover the costs of manufacturing or providing it.