A Writer of a Call Option on BHP Shares Has

question 23

Multiple Choice

A writer of a call option on BHP shares has __________

• A)The right to buy BHP shares at a specified price
• B)The obligation to sell BHP shares at a specified price if the contract is exercised
• C)The right to sell BHP shares at a specified price
• D)The obligation to buy BHP shares at a specified price if the contract is exercised

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Definitions:

C-H Bonds

A chemical bond formed between a carbon atom and a hydrogen atom, prevalent in organic molecules and important for the structure of hydrocarbons.

ΔS°

Standard entropy change, representing the change in entropy in a system when one mole of a compound is formed under standard conditions (298 K, 1 atm).

Hydrogenation

A chemical reaction where hydrogen is added to organic compounds, often requiring a catalyst.

Acetylene

A colorless and highly flammable gas with a triple bond between its two carbon atoms, used as a fuel and in chemical synthesis.