Question: Use the following information to complete problem The current spot price of the stock of Southwest Airlines (LUV) is 30.00 The current annual effective

Use the following information to complete problem The current spot price of

the stock of Southwest Airlines (LUV) is 30.00 The current annual effective

Use the following information to complete problem The current spot price of the stock of Southwest Airlines (LUV) is 30.00 The current annual effective risk free interest rate is 6.09%. The forward price for a 6 month forward contract on LUV stock is 30.9 A 6 month European style call option on LUV stock with a strike price of 30 has a premium of 1.50 A 6 month European style put option on LUV stock with a strike price of 30 has a premium of 2.00 Creat a payoff-profit table for LUV stock. Assume you buy the stock now. Then you sell your stock in 6 months. (Use spot prices in 6 months of 28 - 34 in increments of 1)

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