Question: Consider: (a) Stock trades for $100; (b) Calls with exercise prices of $90, $100, and $110 trade at prices of $17.62, $10.81, and $6.28 respectively.

Consider: (a) Stock trades for $100; (b) Calls with exercise prices of $90, $100, and $110 trade at prices of $17.62, $10.81, and $6.28 respectively. If a person buys a $90 call, writes two $100 calls...

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