The current price of a stock is $188, and three-month call options with a strike...
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The current price of a stock is $188, and three-month call options with a strike price of $190 currently sell for $9.40. A trader who feels that the price of the stock will increase has $18,800 to invest. The trader is trying to choose between buying 100 shares and buying 2,000 call options. How high does the stock price have to rise for the option strategy to be as profitable as an investment in the stock?
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