Stock price = $30. Exercise price of call and put = 30. Call Premium = $2. Put Premium = $2 Question 9. What is the breakeven price of long straddle if the stock price rises above 30?

a. 32

b. 28

c. 26

d. 34

e. none

What is the breakeven price of long straddle if the stock price goes below 30?

a. 32

b. 26

c. 28

d. 34

What is the profit of long straddle if the stock goes bankrupt?

a. 32

b. 26

c. 28

d. 34

e. none

What is the max profit of short straddle strategy?

a. infinite

b. 2

c. 4

d. 26

e. 34

At what stock price will you make the max profit from a short straddle strategy?

a. 30

b. either infinity or 0

c. infinity

d. zero

e. none