Multiple Choice
You are considering two option contracts with the same strike price. Ignoring costs, which one of the following combinations will increase the value of a firm if prices move either up or down?
A) Buying both a call and a put.
B) Both buying and selling a call.
C) Buying a call and selling a put.
D) Buying a put and selling a call.
E) Both selling a put and a call.
Correct Answer:

Verified
Correct Answer:
Verified
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