Question: You write (short) a put option on Tesla stock with an exercise price of $270. The option expires after one month. Assume the option premium

You write (short) a put option on Tesla stock with an exercise price of $270. The option expires after one month. Assume the option premium is $20.

a. What is the profit on this option if the stock price is $300 at expiration?

b. What is the payoff of this option if the stock price is $245 at expiration?

Please show your work (preferably in Excel)!

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