Question

You purchased five call option contracts with a strike price of $22.50 and an option premium of $.48. You held the option until the expiration date. On the expiration date, the stock was selling for $21.70 a share. What is the total profit or loss on your option position? Group of answer choices −$45 −$120 −$135 $0 −$240

Answer 1

You lose your premium $240 down the drain.

Step-by-step explanation:

-$240

Total Loss= 5*(100 x -$0.48)= -$240

Good luck mate! Options are very risky.