Question: A trader forms an unnamed spread using the following strategy using European call options which mature at the same time: 1) Long Position in two

A trader forms an unnamed" spread using the following strategy using European call options which mature at the same time: 1) Long Position in two calls at strike price K, and call price C. 2) Short Position in two calls at strike price Ky and call price Cz. 3) Short Position in two calls at strike price K3 and call price Cz 4) Long Position in two calls at strike price K4 and call price C4 Given Ki C > C3 > C4 Which calls are Out of Money when K3 SS

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