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Let K and K be two strike prices, and K K. CA(K1), CE(K1), PA(K1), and PE(K) are the prices of American and European call and

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Let K and K be two strike prices, and K K. CA(K1), CE(K1), PA(K1), and PE(K) are the prices of American and European call and put prices for strike price K. Similarly, we have option prices for strike price K. Which of the following statements are true? i. CA(K1) - CA(K2) > K - K ii. PE(K) - PE(K) > K - K iii. The graph showing the relationship between strike prices and call and put prices is concave. O a. i and ii O b. ii and iii O c. i and iii O d. i, ii, and iii are all true O e. i, ii, and iii are all false

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