Unformatted text preview: D - Imagine Steve Jobs of Apple decides to retire and he and Apple's board decides to sell Apple to Microsoft in exchange for sha a. Neither of Mr. Jobs' options will be exercised, and he can sell his stock for $23 per share. b. Only Mr. Jobs' put options will be exercised, and he will sell his stock for $18 per share. c. Only Mr. Jobs' call options will be exercised, and he will have to buy more stock for $22 per share. d. Only Mr. Jobs' call options will be exercised, and he will sell his stock for $22 per share. B - Your company needs to buy indigo ink in 3 months in order to manufacture ink pens and is worried about the price of ink rising a. They can sell indigo ink futures. b. They can buy indigo ink futures. c. They can sell (write) indigo ink call options. d. They can buy indigo ink put options....
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This note was uploaded on 05/05/2010 for the course ECONMOICS ECON 203 taught by Professor Josephpetry during the Spring '10 term at University of Illinois, Urbana Champaign.
- Spring '10