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Use the following information to draw the profit diagram for a long put on a stock: Stock price is $25 T = 6 months Continuously

Use the following information to draw the profit diagram for a long put on a stock:

Stock price is $25

T = 6 months

Continuously compounded risk-free interest rate r is 5% per year

K = 27

Put Price = $4

Mark the max profits/losses, Strike price, and breakeven point clearly.

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