Question: Don buys a straddle on Lehigh that has a strike price of $ 4 0 . 8 0 . The premium of the call is

Don buys a straddle on Lehigh that has a strike price of $40.80. The premium of the call is $1.40 and the premium of the put is $1.95. Calcuate the profit or loss on buying the straddle if at the time of expiration the price per share of Lehigh is $40.70.

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