Two-Sided Transaction Two investors have taken opposite sides of a call option (X=50) on Raider's stock price. For a range of possible terminal stock prices (S) find the profit for the long position and the short position. Find the combined profit as well and make a graph. What is their combined profit at any S, and what is going on here? ANSWER Call price 8.20 Holder's profit Writer's profit Combined Profit Raider stock price at option expiration, St 0 10 20 30 40 50 60 70 80 90 100