Current stock price S is $22. Time to maturity T is six months. Continuously compounded, risk-free interest rate r is 5 percent per annum. European options prices are given in the following table Strike Price K1 $17.50 K2 $20.00 K3 $22.50 K4 $25.00 Call Price S5.00 $3.00 $1.75 $0.75 Put Price $0.05 $0.75 $1.75 $3.50 (a) What is the aim of a long (or bottom) straddle strategy? Create a long straddle by buying a call and put with strike price K3- $22.50 [10 marks] (b) What is the aim of a short (or top) strangle strategy? Create a short strangle by writing a call with strike price K3 $22.50 and a put with strike price K2- $20 10 marks