Question: please show work 1. A trader creates a long butterfly spread from call options with strike prices of $160, $170, and $180 per share by
1. A trader creates a long butterfly spread from call options with strike prices of $160, $170, and $180 per share by trading a total of 40 option contracts (10 contracts at $160,20 contracts at $170 and 10 contracts at $180). Each contract is written on 100 shares of stock. The options are worth $20, $24, and $30 per share of stock. A. What is the value of the butterfly spread at maturity as a function of the then stock price? B. What is the profit of the butterfly spread at maturity as a function of the then stock price
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