Covered call position, Suppose that you have a covered call

Covered call position

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Reference no: EM131068352

Suppose that you have a covered call position. You bought the stock at $90/share. You sold the call option for $10. The call option has a strike price of $100. Plot the payoff and profit for this position for the stock prices ranging from $70 to $120.

Reference no: EM131068352

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