What is the investors cash investment, Finance Basics

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What is the investors cash investment

Assignment:

A United States investor buys 500 shares of a stock and sells five all option contracts on the stock. The strike price is $30. The price of the option is $3. What is the investor's minimum cash investment (a) if the stock price is $28 and (b) if it is $32?

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Finance Basics: What is the investors cash investment

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