A box spread comprises four options

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Reference no: EM131237368

1. How can a forward contract on a stock with a particular delivery price and delivery date be created from options?

2. ‘‘A box spread comprises four options. Two can be combined to create a long forward position and two can be combined to create a short forward position.'' Explain this statement.

3. What is the result if the strike price of the put is higher than the strike price of the call in a strangle?

Reference no: EM131237368

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