Three European put options on a stock have the same expiration date and strike prices of $55, $60, and $65. Their market prices are $3, $5, and $8, respectively. Explain how a butterfly spread can be created. What is the cost of the spread? Find the payoff (which ignores the cost) and profit (which includes the cost) from the following stock price ranges S≥65 60≤S<65 55≤S<60 S<55 For what range of stock prices would the butterfly spread lead to a loss? Consider three European call options on the same stock with the same expiration date and the same three trike prices of $55, $60, and $65. Their market prices are c1, c2, and c3, respectively. Use put–call parity to show that the cost of the butterfly spread created from these options is identical to that in Part (A). This is a general result which holds for any butterfly spreads.