Calls Puts

Strike	July	Aug	Oct	July	Aug	Oct
165	2.70	5.25	8.10	2.40	4.75	6.75
170	0.80	3.25	6.00	5.75	7.50	9.00

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1. Buy one August 165 call contract. Hold it until the options expire. Determine the profits and graph the results. Then identify the breakeven stock price at expiration. What is the maximum possible loss on this transaction?

2.Buy one October 165 put contract. Hold it until the option expire. Determine the profits and graph the results. Identify the breakeven stock price at expiration. What is the maximum possible gain and loss on this transaction?

3. Buy 100 shares of stock and write one October 170 call contract. Hold the position until expiration. Determine the profits and graph the results. Identify the breakeven stock price at expiration, the maximum profit, and the maximum loss.

4. Buy 100 shares of stock and buy one August 165 put contract. Hold the position until expiration. Determine the profit and graph the results. Determine the breakeven stock price at expiration, the maximum profit, and the maximum loss.