In this technical note, students will learn and practice some of the key concepts about Call and Put options; specifically how to use them and what to use them for. Through the multimedia format, with option value calculators and graphic simulators showing payoff schedules for any strategy, students have the opportunity to practice the concepts. Through this they will understand the many possibilities that options provide for obtaining different profit and risk profiles, something that is not possible with other financial instruments.
This interactive tutorial allows students to understand several important financial concepts such as the present value the future value interest and time amongst others. It shows the relationship between these concepts and how to calculate each.
In order to reach this objective charts with definitions and equations interactive graphs and exercises are included.