1. Multiple choice; circle the correct answer. (a) 4 points] Consider call and put options with the same underlying, strike, and ma- turity. In which of the following cases is the put price greater than the call price? A. When the asset pays discrete dividends. B. When the strike price is greater than the asset price. C. When the strike price is less than the asset price. D. When the strike price is greater than the forward price on the asset. E. When the strike price is less than the forward price on the asset. F. None of the above. (b) [4 points] Consider a strategy consisting of a) a KL - Kh strike bull call spread, and b) a KL - Kh strike bear put spread, where KL 0. B. A 0 and B > 0. D. A > 0 and B K C. Long FWD + short call + long put, where For K E. None of the above