Multiple Choice
Suppose you buy a call and lend the present value of its exercise price. You could match the payoffs of this strategy by:
A) Buying the underlying stock and selling a call
B) Selling a put and lending the present value of the exercise price
C) Buying the underlying stock and buying a put
D) Buying the underlying stock and selling a put
Correct Answer:
Verified
Correct Answer:
Verified
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