quote:
Originally posted by Panic E-Button
Quote:
quote:Originally posted by I.T.Ancient
Let's just use AUD and ignore opportunity costs for the moment to avoid confusion. If you bought an option for 1c and the heads are trading at 25c on strike day, then the same day you spend 15c you can take 25c out by selling at market. Investment 1c return 10c.
Um??
Have you ever finnished primary school?
1c + 15c =16c
Your 'current price' = 25c less exercised option costs = 9c.
Then 9c represents profit of 56.25% on your effort (16c) selling 'heads' at market.