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Draw a profit diagram for each of the following combined option positions: Combination 1: Short 1 call with an exercise price of $50 with a
Draw a profit diagram for each of the following combined option positions:
Combination 1:
Short 1 call with an exercise price of $50 with a call price of $2, and
Long 1 call with an exercise price of $55 with a call price of $1.
Combination 2:
Long 1 call with an exercise price of $50 with a call price of $2, and
Long 1 put with an exercise price of $50 with a put price of $1.
Combination 3:
Short 1 put with an exercise price of $50 and an put price of $1, and
Long 1 call with an exercise price of $50 and a call price of $2.
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