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Please Show Work In Excel? Assume a Long Straddle is being created using the following values: Current stock price: $50 Any put or call is
Please Show Work In Excel?
Assume a Long Straddle is being created using the following values: Current stock price: $50 Any put or call is at a strike price equal to the current stock price Standard deviation of the stock's returns: 45% Time frame of hedge: 2 years T-Bill interest rate: 2.0% Total amount invested in stock and options purchases: as much as possible up to $10,000 What is the total profit if this hedge is bought, and the stock price goes up to $53? What is the total profit if this hedge is bought, and the stock price goes up to $53? - $43,048 - $9,810 - $8,610 O $1,200 Assume a Long Straddle is being created using the following values: Current stock price: $50 Any put or call is at a strike price equal to the current stock price Standard deviation of the stock's returns: 45% Time frame of hedge: 2 years T-Bill interest rate: 2.0% Total amount invested in stock and options purchases: as much as possible up to $10,000 What is the total profit if this hedge is bought, and the stock price goes up to $53? What is the total profit if this hedge is bought, and the stock price goes up to $53? - $43,048 - $9,810 - $8,610 O $1,200Step by Step Solution
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