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To: SJS who wrote (18493)	4/9/1998 12:07:00 AM
From: Tulvio Durand	Read Replies (1) \| Respond to of 95453

Are brokerage fees included in your calculations? How much do you stand to lose if stock were to go to 30 before expiration, when compared to simply holding long position? Should the latter scenario be considered as part of the risk/profit tradeoff? Tulvio

To: SJS who wrote (18493)	4/9/1998 2:48:00 AM
From: upanddown	Read Replies (2) \| Respond to of 95453

Steve: Thanks for the covered call calculations. Have you looked at the covered call spreadsheet that was mentioned by drsvelte ? cboe.com It gives a slightly higher return (just over 15%) even though it factors in both the option commission and the stock commission (if exercised). Not sure why but it seems to be because it treats the premium as a reduction in cost rather than an increase in return. If you have Excel 5.0 or higher you might want to take a look. Its well-designed and also gives unexercised returns and downside protection. Thanks again, John