Question: Suppose you write one Texas Instruments August 75 put contract quoted at $6 and buy one Texas Instruments August 80 put contract quoted at $9.

  1. Suppose you write one Texas Instruments August 75 put contract quoted at $6 and buy one Texas Instruments August 80 put contract quoted at $9.

What is this strategy called?

What is the maximum gain and loss of this strategy per share?

What is the breakeven stock price of this strategy?

If the price of Texas Instruments stock is $79 at expiration, your profit per share would be:

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