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1. You believe that Steel Dynamics (STLD) will have a narrow trading range over the next few weeks, as the investment community awaits its earnings report. What should you do?

Sell-to-open a butterfly spread.

Buy-to-open an iron condor.

Write a long calendar spread.

Buy a straddle.

None of the above

2. Given how some financial ratios relate to each other, an increase in the net profit margin will decrease return on assets

T/F

Financial Management, Finance

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