Strike Price= $24.00
Option Cost= $.25 x 100 = $25 Per Contract
Investment Total= $1000
Number of Options Contracts= $1000 / 25 = 40 Contracts
Total Amount Invested= 45 Contracts x $25 per Contract= $1000
Trade Fee= $7.70
Total Cost= $1000 + $7.70 = $1007.70
Number of Shares Holding= 40 x 100 = 4000 Total Shares
Total Price of Shares at Strike Price= $24 x 4000 = $96000
Break Even Price= $96,000 - $1007.70 = $94992.3 / 4000 = $23.748075
Max Expected Gain = $94992.3 - (4000 x 23.50)= $94992.3 - $94000 = $992.3
Expected Gain = $94992.3 - (4000 x 23)= $94992.3 - $92000 = $2992.3
Expected Gain = $94992.3 - (4000 x 22.5)= $94992.3 - $90000 = $4992.3
Expected Gain = $94992.3 - (4000 x 22)= $94992.3 - $88000 = $6992.3
Option Cost= $.25 x 100 = $25 Per Contract
Investment Total= $1000
Number of Options Contracts= $1000 / 25 = 40 Contracts
Total Amount Invested= 45 Contracts x $25 per Contract= $1000
Trade Fee= $7.70
Total Cost= $1000 + $7.70 = $1007.70
Number of Shares Holding= 40 x 100 = 4000 Total Shares
Total Price of Shares at Strike Price= $24 x 4000 = $96000
Break Even Price= $96,000 - $1007.70 = $94992.3 / 4000 = $23.748075
Max Expected Gain = $94992.3 - (4000 x 23.50)= $94992.3 - $94000 = $992.3
Expected Gain = $94992.3 - (4000 x 23)= $94992.3 - $92000 = $2992.3
Expected Gain = $94992.3 - (4000 x 22.5)= $94992.3 - $90000 = $4992.3
Expected Gain = $94992.3 - (4000 x 22)= $94992.3 - $88000 = $6992.3