If the May Facebook 59 call is selling for $1.25, and the Facebook 60 call is selling for $.75, construct a bear spread using these nearby 59 and 60 calls.

a. Construct a table like the one below showing profit and loss if the options expire when the stock price is $0, $58, $59, $60, $61, $65, and $70, for each part of the spread, and the net profit or loss for the entire spread position.

Stock `nce at Douon ``o'neal`n O 600 605 610 615 620 630 Short GOOG 600 call @, 10 \+ 10 + 10 +5 O - 5 - 10 - 20 Long GOOG 610 call @, 5 - 5 - 5 - 5 - 5 O +5 + 15 Net Profit / Loss from Position +5 +5 - 5 - 5 - 5 - 5