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You construct a bear spread by selling a 6-month put option with a $25 strike price for $2.50 and buying a 6-month put option with a $29 strike price for $4.50. Compute the spread profit (including the cost) when the stock price in 6 months becomes (a) $23, (b) $26, and (c) $33.
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You construct a bear spread by selling a 6-month put option with a $25 strike price for $2.50 and bu...
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