Consider that an investor purchases a call with exercise price 33,000 and a put with exercise price 29,000 on HSI at the same moment.

5. Consider that an investor purchases a call with exercise price 33,000 and a put with exercise price 29,000 on HSI at the same moment. The options have the same expiration date. The call is priced at 330.076 points and the put is priced at 702.510 points. Sketch a payoff graph and a profit graph for this strategy at the expiration date. Find the break-even point and describe the option strategy. (10 marks) 6. Consider that an investor writes a call with exercise price 33,000 and a put with exercise price 29,000 on HSI at the same moment. The options have the same expiration date. The call is priced at 330.076 points and the put is priced at 702.510 points. Sketch a payoff graph and a profit graph for this strategy at the expiration date. Find the break-even point and describe the option strategy. (10 marks) 7. Consider that an investor purchases a call with exercise price 11,000 and a write a call with exercise price 14,000 on H-shares Index at the same moment. The options have the same expiration date. The first call is priced at 1,349.592 points and the second call is priced at 84.836 points. Sketch a payoff graph and a profit graph for this strategy at the expiration date. Find the break-even point and describe the option strategy. (10 marks) 8. Consider that an investor writes a put on H-shares Index with exercise price 11,000 and buys a put with exercise price 14,000 at the same moment. The options have the same expiration date. The first put is priced at 217.184 points and the second put is priced at 1,945.143 points. Sketch a payoff graph and a profit graph for this strategy at the expiration date. Find the break-even points describe the option strategy. (10 marks) 9. Consider that an investor buy Tencent at $436.00, buy a stock put on Tencent with exercise price $390 and write a stock call with exercise price $480 at the same moment. The options have the same expiration date. The put is priced at $9.573 and the call is priced at $17.685. Sketch a payoff graph and a profit graph for this strategy at the expiration date. Find the break-even points describe the option strategy. (10 marks)