Question: 1. A trader buys a call option with a strike price of 45 and a put option with a strike price of 40. Both options

1. A trader buys a call option with a strike price of 45 and a put option with a strike price of 40. Both options have the same maturity. The call costs 3 and the put costs 4. Draw a diagram showing the variation of the traders profit with the asset price. Explain the purpose of this strategy

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