What is the breakeven point for a call option written at a premium of 13 with a strike price of 450?

To determine the breakeven point for a call option, you need to add the premium paid for the call option to the strike price. In this case, the premium is 13, and the strike price is 450.

So, the calculation for the breakeven point is as follows:

Breakeven Point = Strike Price + Premium
Breakeven Point = 450 + 13
Breakeven Point = 463

This means the stock price must reach 463 for the investor to recover the cost of the call option. If the underlying stock price is below this point at expiration, the option holder would incur a loss, while if it's above this breakeven point, the holder would profit.

This reveals why the breakeven for the call option in this scenario is correctly determined as 463.