How Much Would You Receive If You Wrote One March

question 320

Multiple Choice

How much would you receive if you wrote one March 35 put contract? KX (KX) Underlying stock price: 33.65

• A) $1.35
• B) $1.40
• C) $1.65
• D) $135.00
• E) $140.00

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Definitions:

Null Hypothesis

A hypothesis that assumes no significant difference or effect, serving as the default assumption in statistical hypothesis testing.

Alternative Hypothesis

A hypothesis that contradicts the null hypothesis; it suggests there is an actual effect or difference.

Two-sided Test

A statistical test that considers both directions of effect by evaluating whether a parameter is either significantly higher or lower than a hypothesized value, allowing for rejection of the null hypothesis for deviations in two directions.

P-value

A metric used in statistics to assist researchers in assessing the importance of their findings, signifying the chance of achieving the observed outcomes assuming the null hypothesis is accurate.