Connie and Sue Are Identical Twins Reared Apart and Recently

question 246

Multiple Choice

Connie and Sue are identical twins reared apart and recently reunited.Carl and Fred are unrelated students at a major university.Which of the following statements is TRUE of these pairings?

• A) Connie and Sue will probably show a long list of amazing similarities, while Carl and Fred will only share a couple of similarities.
• B) Connie and Sue will probably share many similarities; Carl and Fred may share many similarities but are probably not motivated enough to discover them.
• C) Connie and Sue will not share as many similarities as will Carl and Fred.
• D) Connie and Sue will have more differences than will Carl and Fred.

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Definitions:

Puts

Options contracts giving the owner the right, but not the obligation, to sell a specified amount of an underlying asset at a set price within a specified time.

Underlying Security

The asset upon which a derivative contract, such as an option, is based.

Option

A financial derivative that represents a contract giving the buyer the right, but not the obligation, to buy or sell an underlying asset at a specified strike price on or before a specified date.