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492A COMPleTe gUIde TO THe FUTUreS MArKeT
tabLe 35.3a profit/Loss Calculations: Long Call (at-the-Money)
(1) (2) (3) (4) (5)
Futures price at
expiration ($/oz)
premium of august
$1,200 Call at
Initiation ($/oz)
$ amount of
premium paid
Call Value at
expiration
profit/Loss of
position [(4) (3)]
1,000 38.8 $3,880 $0 $3,880
1,050 38.8 $3,880 $0 $3,880
1,100 38.8 $3,880 $0 $3,880
1,150 38.8 $3,880 $0 $3,880
1,200 38.8 $3,880 $0 $3,880
1,250 38.8 $3,880 $5,000 $1,120
1,300 38.8 $3,880 $10,000 $6,120
1,350 38.8 $3,880 $15,000 $11,120
1,400 38.8 $3,880 $20,000 $16,120
FIGURE  35.3a Profi t/loss Profi le: long Call (At-the-Money)
Price of August gold futures at option expiration ($/oz)
Futures at time of position
initiation and strike price
Breakeven price = $1,238.80
Profit/loss at expiration ($)
1,000
15,000
17,500
12,500
10,000
7 ,500
2,500
0
2,500
5,000
5,000
1,050 1,100 1,150 1,200 1,250 1,300 1,350 1,400