Chapter 07 · Section 7.1

Call Ratio Backspread Question 2

To put on a call ratio backspread, you:

a) sell one of the lower strike and buy two or more of the higher strike.
b) buy two or more of the lower strike and sell one of the higher strike.
c) buy one of the lower strike and sell two or more of the higher strike.
d) sell two or more of the lower strike and buy one of the higher strike.