Question: A trader creates a bear spread by selling one 6-month put option contract with a $25 strike price for $2.15 per option and buying one
A trader creates a bear spread by selling one 6-month put option contract with a $25 strike price for $2.15 per option and buying one 6-month put option contract with a $29 strike price for $4.75 each. What is the total payoff (excluding the initial investment) when the stock price in 6 months is 23.40.
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