Which of the Following Is Correct Regarding a Call Option

question 16

Multiple Choice

Which of the following is correct regarding a call option?

• A)The intrinsic value of a call option is the greater of zero and (K- S), the difference between the market price and the strike price.
• B)The time value of an option reflects the probability that the future market price of the underlying instrument will not exceed the strike price.
• C)The time value decreases with the length of time to expiration and the volatility of the underlying instrument (such as the share price).
• D)The time value is always positive until the option expires, so the total value of an unexpired option is always greater than the intrinsic value.

Understand the definition and significance of kinship in human societies.

Recognize the functions and problems solved by social organizations beyond the family unit.

Identify the tasks and importance of kinship terminologies.

Comprehend the societal advantages of age grades and age sets.

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Definitions:

Duration Criterion

A specific time period that symptoms must be present for a condition or disorder to be diagnosed, ensuring consistency and accuracy in diagnoses.

Agoraphobia

The fear of places and situations that might cause panic, helplessness, or embarrassment.

Social Anxiety Disorder

A chronic mental health condition characterized by an intense fear of social situations due to perceived negative evaluation by others.

Specific Phobia

An intense, irrational fear of a specific object, activity, or situation that leads to significant distress or impairment in social, occupational, or other important areas of functioning.