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Cost of collar = Nil (Zero Cost) Created Collar By : Buying value of Index $60 Buying 55-Strike Put And selling a 65-strike call Expiration
Cost of collar = Nil (Zero Cost) Created Collar By : Buying value of Index $60 Buying 55-Strike Put And selling a 65-strike call Expiration - 1 Year from Now Risk free rate = 5% (Effective) Please Draw Profit diagram for this position
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School Finance A Policy Perspective
Authors: Allan Odden, Lawrence Picus
5th Edition
0078110289, 978-0078110283
