8) A stock is currently trading at $10. Tomorrow there is a 70% chance it will trade at $14 and a 30% chance it will trade at $9. Ignore the time value of money, so r . a) What is the value today of a straddle (a call plus a put) on that stock that expires tomorrow with an exercise price of $10. sa vel b) How many stocks do you short? A c) f calls were priced at $0.85 and puts at $0.82 what would you do to make money from what you learned? Explain your method clearly