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Explanation for why answer is B. Thank you You working on a sales desk at Goldman Sachs. One of your clients has asked you to

image text in transcribedExplanation for why answer is B. Thank you
You working on a sales desk at Goldman Sachs. One of your clients has asked you to create a fowling cash flow structure linked to the value of an underlying index: What set of trades will devise the above payoff using only call options and shares of the underlying. You may not use any other instruments. Long 1 share, short 1 call (X = 50), long 1 call (X = 60), long 1 call (X = 110) Long 1 share, short 1 call (X=50), long 1 call (X=60), short 1 call (X = 110) Long 1 share, short 1 call (X=50), short 1 call (X =60), long 1 call (X = 110) Long 1 share, long 1 call (X=50), short 1 call (X=60), short 1 call (X 110)

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