Task  In this assignment, you will solve problems about Payoffs and Trading Stra

Task 
In this assignment, you will solve problems about Payoffs and Trading Stra

Task 
In this assignment, you will solve problems about Payoffs and Trading Strategies. 
Instructions 
Use your textbook to answer the following question from Chapter 8:

Exercise 18

Please, upload xls, xlsx file.
Please, use the full computing power of Excel.
 
18. The options for Microsoft (stock price $25.84) are trading at the following prices:
Strike         Calls          Puts
22.50.         3.40.         0.10
25.00         1.25           0.30
27.50          0.15          1.80
 State the trading ranges at maturity in which the net payoff of the following option
positions is positive: (a) 25.00 straddle, (b) 22.50 strip, (c) 27.50 strap, and (d) 22.50–
27.50 strangle