Question: Explain how this statement can be true: A long call position offers potentially unlim. ited gains if the underlying asset's price rises but a fixed,

 Explain how this statement can be true: "A long call position

Explain how this statement can be true: "A long call position offers potentially unlim. ited gains if the underlying asset's price rises but a fixed, maximum loss if the underly. ing asset's price drops to zero

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