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Suppose the price of a share of stock xyz corporation is currently trading at 2 0 $ per share. Consider the following two options on
Suppose the price of a share of stock xyz corporation is currently trading at $ per share. Consider the following two options on one share of xyz: a A call option with strike price $ b a put option with strike price $ Draw a payoff diagram of this portfolio. Call option later Put option now What is the minimum price you should be willing to pay for the above portfolio. What is the holder of the portfolio betting on
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