What is the spread possible payoff

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Reference no: EM133111260

Consider the following calendar spread.

Security

Qty

Bid

Ask

SPDR S&P 500 Trust ETF

 

$469.52

$469.62

SPY JAN 14 2022 457.0 CALL

-15

$3.55

$3.60

SPY JAN 14 2022 460.0 CALL

15

$2.20

$2.20

a. What type of spread is this?

b. What is the spread's possible payoff?

c. How much initial capital is required for this spread?

d. What is the breakeven point?

e. How much margin (buying power) does this position require?

Reference no: EM133111260

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