Suppose you buy a straddle by purchasing one Clearwire August $50 call option contract quoted at $4 and also purchasing one Clearwire August $50 put option contract quoted at $5, where $50 is the strike price for both options. The two options have the same expiration date.

Q If the Clearwire stock price is $30 at expiration, what is your payoff from the call option? What your payoff from the put option? What is your total payoff from the straddle? What is your profit (loss)?

Q If the Clearwire stock price is $55 at expiration, what is your payoff from the call option? What your payoff from the put option? What is your total payoff from the straddle? What is your profit (loss)?