Which of the Following Is Correct

question 20

Multiple Choice

Which of the following is correct?

• A) A diagonal spread can be created by buying a call and selling a put when the strike prices are the same and the times to maturity are different
• B) A diagonal spread can be created by buying a put and selling a call when the strike prices are the same and the times to maturity are different
• C) A diagonal spread can be created by buying a call and selling a call when the strike prices are different and the times to maturity are different
• D) A diagonal spread can be created by buying a call and selling a call when the strike prices are the same and the times to maturity are different

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