Assume that the IBM stock price is currently $199.90.
Which ones of the following call or put options could you exercise and how much net profit (profit minus premiums you paid) would you make if you exercise them?
IBM September 2017 Call options
Strike Price premium you paid (per share)
$190 $9.85
$195 $3.95
$200 $0.66
$205 $0.04
IBM September Put 2017 options
Strike Price premium you paid (per share)
$190 $0.09
$195 $0.28
$200 $0.02
$205 $4.45