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2. Suppose a certain stock is currently worth $61. An investor constructs a long butterfly with the following six-month puts: Strike price 55 60 65

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2. Suppose a certain stock is currently worth $61. An investor constructs a long butterfly with the following six-month puts: Strike price 55 60 65 Put price 7 10 (a) Determine the positions in the puts and fill in the payoff table. (b) What are the max loss, max gain and the break-even level for this butterfly spread

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