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Followings are the strike prices and the relevant options prices for both put and call options. All options are of same maturity Strike Price Option

Followings are the strike prices and the relevant options prices for both put and call options. All options are of same maturity

Strike Price Option Price

In $ call Option Put Option

30 $3.5 $1.1

Suppose that an investor is interested to construct a straddle using the in information. If the market price of underling at maturity is $50, complete the table below?

Option Position ST K f (premium, price,value) Net Pay off

long call $50 $(fill in) $(fill in) $(fill in)

long put $50 $(fill in) $(fill in) $(fill in)

Strategy cost $(fill in)

Strategy Pay off $(fill in)

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