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26 October, 13:18

The current market price of a share of Disney stock is $60. If a call option on this stock has a strike price of $65, the call can be exercised profitably. is out of the money. is out of the money and can be exercised profitably. is in the money and can be exercised profitably. is in the money.

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  1. 26 October, 16:26
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    Is out of the money

    Explanation:

    A strike price is a particular price which if activated, derivative contracts can be sold or bought. Derivatives are considered as products in finance where underlying assets are major determinants of their value.

    The stock price is considered as the current price that a share of stocks is sold and bought on the market.

    Because the strike price is $65 and the stock price (market price) is $60, Disney is out of money and cannot be exercised profitably.
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Home » Business » The current market price of a share of Disney stock is $60. If a call option on this stock has a strike price of $65, the call can be exercised profitably. is out of the money. is out of the money and can be exercised profitably.
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