How can the options be used to create bear spread

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Question 1: Suppose that put options on a stock with strike prices Ksh30 and Ksh35 cost Ksh4 and Ksh7, respectively. How can the options be used to create Bear Spread

Question 2: Construct a table that shows the profit and payoff for the spread.

Question 3: Draw a well labelled diagram showing profit from bear spread created using the above put options.

Reference no: EM132562858

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