What is the maximum gain from the strategy

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Reference no: EM131917207

1. What are three ways to terminate an option position?

2. You have been tracking a stock and have decided that it would be profitable to use an option strategy to speculate on the stock. You decide to trade the following strategy:

Sell one $5 strike call for $6.00

Buy two $85 strike calls for $2.00 each

What is the maximum gain from the strategy?

What is the maximum loss from this strategy?

What is the breakeven from this strategy?

Reference no: EM131917207

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