Do ( B ) only

The following option prices are observed for a stock on March 1, 2023. The stock is currently priced at 135, The expiration date is May 2023. Assume that the options are European. Each option covers 100 shares of the underlying stock. Strike 130 140 150 Call 6.60 4.61 1.98 Put 1.88 5.81 18.61 A. Construct a long straddle using the May 150 options. Hold until the options expire. B. Determine the profits for possible stock prices of 100, 110, 120, 135, 140 145, 155, 165 and 180, at the expiration date.

The following option prices are observed for a stock on March 1, 2023. The stock is currently Assume that the options are European. Each option covers 100 shares of the underlying stock. A. Construct a long straddle using the May 150 options. Hold until the options expire. B. Determine the profits for possible stock prices of 100,110,120,135,140145,155,165 and 180 , at the expiration date