Find investment strategies using Microsoft puts, calls and/or underlying stock, which best express the investor's objectives described below. Construct the profit diagrams and tables, in $10 increments, if the price of Microsoft at expiration falls between $50 and $150. Assume Microsoft currently sells for $100, and that "at the money" puts and calls (i.e., with an exercise price of $100) cost $10 each. As usual, the profit calculations ignore dividends and interest.

An investor wants to capture profits if Microsoft declines in price and is ready to accept unlimited losses if prices increase. Further, the investor wants to break even if the stock price does not change between now and the maturity of the options.