... reduced for out -of- the- money options,let’s review the concepts of in, at, and out of the money. Ingeneral, options are in the money when it is profitable toexercise them, and out of the money when ... owner the right to buy; the seller (writer) of the call has the obligation to sell, if asked(exercised). In theory, there is no limit to the profit poten-tial for a long call because there ... brokerage firm the value of the borrowed stock. Also,since a sale was effected in the account, there is a creditbalance for the amount of the short sale.It is exactly the opposite of a long account....