(Bear spread) Using the data and template below: Suppose you bought a Toyota Motors (ticker: TM) call with exercise (strike) price X = $50 and wrote a TM call with exercise price X = $45. Graph the profit of this strategy at option expiration. Why might this be an attractive strategy?

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A B C D 1 Call Prices 2345 X Price 45 50 4.10 1.65 TM stock price Sat Profit on X = $45 Profit on X = = $50 Total option expiration 20 call (written) call (bought) profit 67110 8 25 9 30 35 11 40 12 13 14 15 16 23456 45 50 55 60 65