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A call with a strike price of $ 5 0 costs $ 5 . A put with the same strike price and expiration date costs
A call with a strike price of $ costs $ A put with the same strike price and expiration date costs $ A straddle is created by buying both the call and the put.
Construct a table that shows the profit from a straddle. For what range of stock prices would the straddle lead to a loss?
Stock Price buy a put K sell a put K Total payoffs
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