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The current price of a non-dividend-paying stock is $30. Over the next six months it is expected to rise to $37 or fall to $25.

The current price of a non-dividend-paying stock is $30. Over the next six months it is expected to rise to $37 or fall to $25. Assume the risk-free rate is zero. An investor sells a call option with a strike price of $31 per share. How would the investor hedge the call option position?Assume that the option is written on 100 shares of stock.

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