Which of the Following Statements Is Correct

question 14

Multiple Choice

Which of the following statements is correct?

• A) Put options give investors the right to buy a stock at a certain strike price before a specified date.
• B) Call options give investors the right to sell a stock at a certain strike price before a specified date.
• C) LEAPS are very short-term options that were created relatively recently and now trade in the market.
• D) An option holder is not entitled to receive dividends unless he or she exercises their option before the stock goes ex dividend.

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Definitions:

Column Percentages

Represents the percentages that each value in a column represents out of the total for the column, often used in statistical analysis to summarize categorical data.

Row Percentages

The percentages of each category within a row in a contingency table, often used in categorical data analysis.

Frequencies

The rate at which a repeated event occurs, often used in the context of how often different values appear in a dataset.

Stacked Bar Chart

A graphical representation of data where bars divided into sub-parts represent the whole and its segments.