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Let 0 < K 1 < K 2 . Graph the payoff against S T for an investor who: a) holds one call with strike

Let 0 < K1< K2. Graph the payoff against STfor an investor who:

a) holds one call with strike K1and writes one put with strike price K2.

b) holds one put with strike price K1and writes one call with strike price K2.

Assume that the options are European and have the same underlying and maturity T.

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