You Own 200 Shares of Stock Which You Would Like

question 32

Multiple Choice

You own 200 shares of stock which you would like to have the right to sell at $40 a share. The 40 call option is quoted at $.35 bid, $.40 ask. The 40 put is quoted at $.50 bid, $.55 ask. How much will it cost you to obtain the right to sell all your shares at $40 a share?

• A)$70
• B)$80
• C)$100
• D)$110
• E)$130

---

Definitions:

Conflict-reduction Strategies

Methods or techniques applied to decrease the level of disagreement or discord in a situation.

Reinforcing Tension

Strengthening or emphasizing the strain or stress within a given situation, relationship, or system, potentially leading to escalated conflicts or breakdowns.

Role Reversal

The act of switching roles within a situation, allowing individuals to experience and understand the opposite perspective.

Integrative Bargaining

A rephrased definition: A negotiation approach aiming at mutual gain, where the interests of all parties are optimized rather than competed over.