Question: What is the correct function for the payoff (at expiration) of a short position in 2 call options (the options have the same price, expiration,
What is the correct function for the payoff (at expiration) of a short position in 2 call options (the options have the same price, expiration, strike, etc. They are identical).
2*Max{0, S-K}
Min{0,2(S-K)}
-2*Max{0,S-K}
-2*{Max{0,2(S-K)}
Min{0, S-K}
2*Max{0, S-K}
-Max{0, S-K}
Max{0, S-K}
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