Which of the Following Is NOT True for the Writer

question 41

Multiple Choice

Which of the following is NOT true for the writer of a call option?

• A) The maximum loss is unlimited.
• B) The maximum gain is unlimited.
• C) The gain or loss is equal to but of the opposite sign of the buyer of a call option.
• D) All of the above are true.

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Definitions:

Work Procedures

Work procedures are the established methods and processes designed to guide the completion of tasks within an organization or workplace, ensuring efficiency and consistency.

Membership Stability

The extent to which membership within a group or organization remains constant over time, minimizing turnover.

Cohesiveness

The extent to which members of a group or team are bound together, promoting unity and increased group effectiveness.

Group Decisions

The process of making choices or solving problems as a collective, where the input and perspectives of multiple individuals are considered.