Answer:
To create a bull spread buy the $30 put and sell the $35 put
To create a bear spread you can sell the $30 put and buy the $35 put
Explanation:
a. A bull spread is a strategy that is used by traders in options trading to gain from small rise in prices. It involves buying at a lower strike price and selling at a higher strike price.
The outcome is:
Stock price >= $35 will give a payoff of 0 and a profit of 3
$30≤ Stock price <$35 will give payoff of (stock price - $35) and a profit of (stock price - 32)
Stock price <$30 with payoff of -5 and a profit of -2
b. A bear spread is when a trader buys a contract at a higher strike price and sells at a lower strike price. This is used to maximise profit as price of the stock declines.
The outcome is:
Stock price >= $35 will give a payoff of 0 and a profit of -3
$30≤ Stock price <$35 will give payoff of ($35 -stock price) and a profit of ($32 - stock price)
Stock price <$30 with payoff of 5 and a profit of 2
Answer:
Explanation:
The statement that best describes this excerpt is "Most of the sentences have a similar structure". Most of the sentences that integrate this excerpt have a similar structure because <u>all of them, except for the first one, begin with the determiner "her"</u>. Moreover, <u>most of them have a noun as head of the subject</u>. For example, in sentences 3, 4, 5 and 6, the heads are "cause", "principles", "temper" and "conduct" respectively. Furthermore, <u>most of the sentences have a subject complement</u>. In the case of sentence 2, 3, 4 and 5, the subject complements are "unclouded and promising", "good", "just and liberal" and "serene and firm" respectively. Therefore, the structure of most of the sentences in this excerpt is Subject + Verb + Subject Complement.
The answer is shown above
D- despair, is the answer. euphoria is an overwhelming joy, despair is hopelessness and sadness. hope this helped!
