Question: explain why it's A Question 13 - 16: Which portfolio of options will generate the payoff stucture at maturity as shown in the picture below?

 explain why it's A Question 13 - 16: Which portfolio of

explain why it's A

Question 13 - 16: Which portfolio of options will generate the payoff stucture at maturity as shown in the picture below? (a)* Buy one put and one call at strike price $40. Profit or Loss LONG STRADDLE (b) Sell one put and one call at strike price $40. (c) Buy one put at strike price $30 and buy one call at strike price $50. Stock Price at Expiration -S400 - (d) Sell one call at strike price $30 and buy one put at strike price $50

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