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A Long Butterfly Buy one call option with an exercise price of $50 for a premium of $10. Sell two call options with an exercise
A Long Butterfly
Buy one call option with an exercise price of $50 for a premium of $10.
Sell two call options with an exercise price of $60 for a premium of $10 (each).
Buy one call option with an exercise price of $70 for a premium of $10.
The largest loss from this strategy would be ________.
To have a positive profit, the spot rate on the expiration date should range from ________ to ________.
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