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Draw the payoff diagram for the following position: (i) long one 60strike put, (ii) short one 55Strike put, (iii) short one 45strike put, and (iv)
Draw the payoff diagram for the following position: (i) long one 60strike put, (ii) short one 55Strike put, (iii) short one 45strike put, and (iv) long one 40strike put. Assume all options have the same underlying and the same time to expiration. Be sure to label the axes of your graph. Briey explain how these options combine to form the payoff diagram that you drew
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