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The dollar return on one name settlement is $575
Dollar return=settlement length*quantity of contracts*(MAX(strike fee-stock price,zero)-placed top class)
=100*1*(MAX(100-110,0)-5.seventy five)
=-575.00
To calculate the dollar return, first determine your price foundation for the asset or portfolio of belongings in question. Subtract the current value of the investment from the cost basis, and add the cost of any income profits. Take the resulting discern and multiply by means of one hundred to make it a percentage determine.
The dollar return is used to calculate the real net proceeds or losses, and the proportion goes back suggesting the benefit or loss as a percent.
Percent returns increase that understanding similarly via displaying how robust of a go back that is as compared to the quantity of money invested. An excessive dollar return might not become a very good investment if the proportion return is low.
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