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A n investor is considering buying a call option for stock AB C with the following parameters: Exerc is e price of the call option

An investor is considering buying a call option for stock ABC with the following parameters:

Exercise price of the call option is $170, initial stock price $165, call option price $8.

A. Construct payoff and profit function and state the range of stock prices for which the call option will be in the money, and the range of stock prices for which the call option will be out of the money. (6 points)

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