I'm studying up on options. I have yet to run across a definitive answer to this question. Let's say you buy 10 call options that look like this: Strike Price: $60 Premium: 1.55 (total price is $1,550) Delta: .28 Theta: -.01 Implied Volatility: 25% Let's say the stock is trading at $55 at the time of purchase and the option expires in 179 days. Let's say you hold the option up to the final 30 days and at that point an even causes the stock to soar to $75 and will probably go even higher right up to expiration. At expiration the stock is at $90. So would you not make the most money by exercising the option? Doesn't this mean then, to exercise the option, you would need $90,000 in buying power to buy the 1,000 shares? Or is there a way to take the the $30,000 profit without having to put up $90,000 in buying power? I know this is a total newbie question. Thanks for your help.