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Hirt/Block Cover
Fundamentals of Investment Management, 7/e
Geoffrey A. Hirt, DePaul University
Stanley B. Block, Texas Christian University

Put and Call Options

Chapter Objectives


  1. Understand the basic concept of an option.
  2. Distinguish between put and call options.
  3. Define strike price, intrinsic value, and speculative premium.
  4. Describe speculative and hedging strategies with options.
  5. Explain how option contracts are closed out at expiration.
  6. Be aware of the tax and commission factors associated with options.




McGraw-Hill/Irwin