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Problem 2/ For risk management purposes, Shouq decided to undertake a strategy consisting of selling a put with a strike price of 22.1098S for 2.11S,

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Problem 2/ For risk management purposes, "Shouq" decided to undertake a strategy consisting of selling a put with a strike price of 22.1098S for 2.11S, selling a put witha strike price of 18.2451S for 0.56S, and buy two puts with a strike price of 20.8931S for a total of 2.2488S. She entered this position for 5000 contracts that would expire in 3 months from now. a/ What is the amount of her initial investment? b/ What is the amount of her max gain? c/ What is her gain/loss if the stock price in 3 months is 7.145S? d/ What is her gain/loss if the stock price in 3 months is higher than the medium strike price by 69 basis points? g/ What is/are the breakeven price(s)

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