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How would you replicate the payoff of taking a long position in a forward contract at forward price Fon an underlying asset (company's stock) that
How would you replicate the payoff of taking a long position in a forward contract at forward price Fon an underlying asset (company's stock) that has no intermediate cash flows (e.g., no dividends, no storage costs)? Write a put option with a strike price of K = F. buy a call option with a strike price of K=F Buy a put option with a strike price of KF.write a call option with a strike price of K = F Buy a put option with a strike price of K = F. buy a call option with a strike price of K = F O Write a put option with a strike price of K-F.write a call option with a strike price of K-F
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