Value and "profile" for a buyer of a call option

CFA Level I Derivatives
#1

Hey everyone,
I know of the pay-off of a long call option position is Max[0, S - K], the profit & loss of the same position is Max[-Premium , S - K - Premium]. But i don’t know what the CFA Institute are meaning here by “Value and profile”, the right answer is B, which is the profit, but… Why are they calling it “Value and profile”?

#2

No sane person knows.

It appears that they may have meant, “profit”, not “profile”.

1 Like
#3

Bill seriously some of the qs. and wording thereof ( not to mention the catchphrases and the paraphrases) can throw anybody off. I mean from the CFAI…. not to mention the cat in the lap APPs

1 Like
#4

I agree.

My comment was based on a couple of subsequent questions in which they used the phrase “value and profit”.