Which of the Following Is an Example of Natural Consequences

question 6

Multiple Choice

Which of the following is an example of natural consequences?

• A) Jake spills milk on the coffee table and mother hands him paper-towels to wipe up the spill.
• B) Tamika pulls the cat's tail and gets scratched on the arm by the cat.
• C) After telling Terence not to leave the yard, Terence chases a puppy across the street and Mom puts him into a time-out.
• D) D. Josie makes an A on math and her parents let her pick out a special treat.

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Definitions:

Digital Option

A financial instrument that provides a fixed return if the market price is above (for a call) or below (for a put) a certain level at expiration.

Bull Money Spread

A type of options strategy that is used when an investor expects a moderate rise in the price of the underlying asset.

Calls

Calls are options contracts giving the holder the right, but not the obligation, to buy a specified amount of an underlying security at a predetermined price within a specified time frame.

Option Quotes

Information about the price of an option contract, including its bid and ask prices, and sometimes the volume and open interest.