Question: Show graphically and discuss the LONG STRANGLE OPTION. Assume for a round lot the put option price is $1.80, the call option price is $1.35,

Show graphically and discuss the LONG STRANGLE OPTION. Assume for a round lot the put option price is $1.80, the call option price is $1.35, the call strike price is 42, the put strike price is 37 and at expiration this asset is trading at $50. What would you do and how much money would you make or lose on this position? Show a graph and your numerical calculations. (10 points)

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