A Collar with a Net Outlay of Approximately Zero Is

question 29

Multiple Choice

A collar with a net outlay of approximately zero is an options strategy that

• A) combines a put and a call to lock in a price range for a security.
• B) uses the gains from sale of a call to purchase a put.
• C) uses the gains from sale of a put to purchase a call.
• D) combines a put and a call to lock in a price range for a security and uses the gains from sale of a call to purchase a put.
• E) combines a put and a call to lock in a price range for a security and uses the gains from sale of a put to purchase a call.

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Definitions:

Resting Potential

The difference in electric charge between the inside and outside of a resting neuron, providing the cell with the potential to generate an action potential.

Neural Membrane

The lipid bilayer that encloses the cytoplasm of a neuron, maintaining the electrical potential used in signal transmission.

Electrical Polarization

The phenomenon where in a material, or in the particles of the material, there is a separation of charge leading to one part becoming more positively charged and another part more negatively charged.

Synaptic Vesicles

Membrane-bound sacs in the synapse that store neurotransmitters and release them into the synaptic cleft to transmit neural signals between neurons.