Question: Construct payoff and profit diagrams for the purchase of a
Construct payoff and profit diagrams for the purchase of a 950-strike S&R call and sale of a 1000-strike S&R call.Verify that you obtain exactly the same profit diagram for the purchase of a 950-strike S&R put and sale of a 1000-strike S&R put. What is the difference in the payoff diagrams for the call and put spreads? Why is there a difference?
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