# Question: Suppose you buy theS Rindex for 1000 and buy a 950 strike

Suppose you buy theS&Rindex for $1000 and buy a 950-strike put. Construct payoff and profit diagrams for this position.Verify that you obtain the same payoff and profit diagram by investing $931.37 in zero-coupon bonds and buying a 950-strike call.

## Relevant Questions

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