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Suppose that put options on a stock with strike prices $40 and $45 cost $4 and $7, respectively. (a) How can the options be used

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Suppose that put options on a stock with strike prices $40 and $45 cost $4 and $7, respectively. (a) How can the options be used to create a bull spread? ( 3 marks) (b) Comolate tha follnwine table that shows the profit and payoff for the bull spread. (5 marks) (c) How can the options be used to create a bear spread? (2 marks)

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