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Question: The current stock price of ABC Corp. is 50. Prices for six-month calls on ABC are given in the table below. Draw a profit diagram of the following strategy: Buy one 40 call, write two 50 calls, buy one 60 call, and write two 70 calls.

   Call                           Price

     40                        16.5

     50                         9.5

     60                                4.5

     70                                2

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