R.K. Ramachandran has purchased 3-month call on a share with an exercise price of Rs 50

R.K. Ramachandran has purchased 3-month call on a share with an exercise price of Rs 50 at a premium of Rs 4. He has also bought a 3-month put on the same share with an exercise price of Rs 50 at a premium of Rs 2. Determine Ramchandran’s position at maturity if the share price is either Rs 52 or Rs 45.

 

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