Equity research analysts give it an equal chance to be at $177 or $250 by 1 march . 

You consider the following options offered by a broker : 

A call with an exercise price of $185 and a premium of $15.

A put with an exercise of $145 and a premium of $15.

You Explain two possible option strategies based on this offer ; covered call or protective put;

1. Illustrate which of the two option strategies is generally for protection and which is to make gains.
2. Determine the pay-off and the profit realise on the covered call and protective put under each of the two price scenarios by 1 march.
3. Appraise the effectiveness of a straddle and a butterfly option spread strategy in the scenario where the share price stays at its initial level of $175.