Please kindly answer all of the question completely, suppose to answer those little boxes with the info that provided. Thank you .
YZA
STOCK
1. Long strangle 90/210 means long 90 put and long 210 call
90 put = $2.44
210 call = $3.75
total cost = total debit incurred in premiums
= $2.44 + $3.75
= $6.19
2. there will be two BEP for strangle
low BEP = strike - premium cost = $90-$6.19=$83.81
High BEP = strike +premium cost =$210 +$6.19=$216.19
3. Value if YZA goes to $225= 90put - 0 & 210 call- $15
4. Value if YZA closes at $212= 90put - 0 & 210 call- $$2
EFG STOCK
1. Short strangle of 120/200 means short 120 put and short 200 call
120 put = $9.13
200 call= $13.63
total premium received = (3*$9.13 +3*13.63) = $68.28
2. there will be two break even points
low BEP = strike - premium cost = $120-$22.76=$97.24
High BEP = strike +premium cost =$200 +$22.76=$222.76
3. Value if YZA goes to $195= 120put- 0 & 200 call- 0
4. Value if YZA goes to $207= 120put- 0 & 200 call- 7
Please kindly answer all of the question completely, suppose to answer those little boxes with the...
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