Draw the profit diagrams at maturity for the following


Draw the profit diagrams at maturity for the following portfolios consisting of options. Clearly label all the important points in the diagrams.

A. Sell a one-year European call option with a strike of $53 and buy a one-year European put option with a strike of $47. The call option is trading at $2 and the put option is trading at $3

B. Execute the transactions in part (a) but now also buy the underlying stock trading at $50.

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Financial Management: Draw the profit diagrams at maturity for the following
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