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Suppose you bought ABC stock at $50 and sold a $54 Call expiring in December for $1. Name the strategy, calculate break-even, max. profit, max.

Suppose you bought ABC stock at $50 and sold a $54 Call expiring in December for $1. Name the strategy, calculate break-even, max. profit, max. loss and describe the rationale of using the strategy. Draw a graph to help illustrate your answer. Will this strategy be useful to manage risk?

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