Call Options Are Purchased with the Expectation That the Market

question 107

True/False

Call options are purchased with the expectation that the market price of the underlying security will fall while put options are purchased with the expectation that the market price of the underlying security will rise.

---

Definitions:

Ear Canal

The narrow passage leading from the outer ear to the eardrum, through which sound waves are directed.

Soft Contact Lens

A type of contact lens that is made from soft, flexible plastics that allow oxygen to pass through to the cornea of the eye.

Cleansing Solution

A chemical mixture used to clean or disinfect surfaces and objects.

Saline

A solution of salt in water, often used in medical treatments for hydration or as a solvent for medications.