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8. An investor purchases a stock for $38 and a put option for $.50 with a strike price of $35. The investor then sells a
8. An investor purchases a stock for $38 and a put option for $.50 with a strike price of $35. The investor then sells a call option for $.50 with a strike price of $40. What is the maximum profit and loss for this position? Draw the profit and loss diagram for this strategy as a function of the stock price at expiration. (10 points)
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