You meet with two investors who have different expectation for stock CBD that can be addressed with various positions in puts, calls, and the underlying stock. For each investor document the (1) name of the recommended strategy, (2) the components of the suggested trade and (3) draw the pay off function of the stock price.

Investor A already hold CBD stock and want to lock in gains if the stock drops below its current level, while waiting upside exposure

Investor B want to profit if CBD upcoming earning announcement is either unexpectedly good or disappointing bad

Investor C Already hold CBD stock and believes the stock will not increase much in the near term. As such she want to earn extra income using options.