First, create a butterfly spread strategy using these options. (1) $190 call priced at $8.19 , (2) $200 call priced at $10.15 and (3) $210 call priced at $13.07. Calculate the rate of return (in %), when the underlying stock price becomes $200. (margin of error: +/- 1%)

Selected Answer:	[None Given]
Correct Answer:	942 1%

Response Feedback:

Butterfly spread = long one $190 call, short two $200 call, long one $210 call. Rate of return is profit / cost.

Step by step solution please