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Business, 26.12.2019 04:31 tremainewoodley3030

Astock price is currently $23. a reverse (i. e short) butterfly spread is created from options with strike prices of $20, $25, and $30. which of the following is true?

a. the gain when the stock price is greater that $30 is less than the gain when the stock price is less than $20
b. the gain when the stock price is greater that $30 is greater than the gain when the stock price is less than $20
c. the gain when the stock price is greater that $30 is the same as the gain when the stock price is less than $20
d. it is incorrect to assume that there is always a gain when the stock price is greater than $30 or less than $20

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