Question: Consider: (a) Stock trades for $100; (b) Calls with exercise prices of $90,$100, and $110 trade at prices of $17.93,$10.12, and $6.36 respectively. If a

Consider: (a) Stock trades for $100; (b) Calls with exercise prices

Consider: (a) Stock trades for $100; (b) Calls with exercise prices of $90,$100, and $110 trade at prices of $17.93,$10.12, and $6.36 respectively. If a person buys a $90 call, writes two $100 calls, and buys a $110 call, what is the magnitude of her maximum loss? Please answer correctly up to two decimal places. 4.05 margin of error +/0.01

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