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Note: this question requires the use of Excel, but you don't necessarily need to submit an Excel file with this exam, you can simply copy
Note: this question requires the use of Excel, but you don't necessarily need to submit an Excel file with this exam, you can simply copy and paste your graphs from Excel into this Word document. e a.) In the table below, indicate the payoff profile at maturity for a short position in a call option with an exercise price of $50. (Ignore the cost of the option). le Stock Price at Maturity Short Call Payoff $0 $250 $50 $754 $1004 le b.) Insert an Excel graph below that shows the payoff profile for the short call position above (Ignore the cost of the option). c.) In the table below, indicate the payoff at maturity for a short position in a stock at $50 (bought at $50) and a short position in a put option with an exercise price of $50. (Ignore the cost of the option) Stock Price at Maturity Short Stock Profite Short Put Profite Totale $0 $254 $504 $75 $1004 d.) Insert an Excel graph below that shows the the payoff profile at maturity for the total (short stock position combined with short put) above. (Ignore the cost of the option)
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