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Suppose that the price of a share of stock in XYZ Corporation is currently trading at $20 per share. Consider buying the following two options

Suppose that the price of a share of stock in XYZ Corporation is currently trading at $20 per share. Consider buying the following two options on one share of XYZ:

A Call option with strike price $20

A Put option with strike price $20

Draw a payoff diagram of this portfolio, and compute profit and payoff.

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