While Having a Discussion, Technician a Says That in a Diode

question 18

Multiple Choice

While having a discussion, Technician A says that in a diode, holes flow in the direction of the arrow, while electrons go against the arrow. Technician B says that holes flow against the arrow, while electrons flow in the direction of the arrow. Who is correct?

• A)A only
• B)B only
• C)Both A and B
• D)Neither A nor B

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Definitions:

Time Value

The concept that money available at the present time is worth more than the same amount in the future, due to its potential earning capacity.

Call Option

A financial contract that gives the holder the right, but not the obligation, to buy a specified quantity of an underlying asset at a predetermined price before a specified date.

Intrinsic Value

Intrinsic value refers to the actual value of a company, stock, currency, or product determined through fundamental analysis without reference to its market value.

Vertical Spread

An options trading strategy that involves buying and selling of two options of the same type and expiry date but different strike prices.