Repeat given problem, but close the position on September 1. Use the spreadsheet to find the profits for the possible stock prices on September 1. Generate a graph and use it to approximate the breakeven stock price.
Problem:-
Buy one October 165 put contract. Hold it until the options expire. Determine the profits and graph the results. Identify the breakeven stock price at expiration. What are the maximum possible gain and loss on this transaction?
Buy 100 shares of stock and write one October 170 call contract. Hold the position until expiration.
Determine the profits and graph the results. Identify the breakeven stock price at expiration, the maximum profit, and the maximum loss.