An Investor Who Writes a Call Option Closes the Position

question 16

Multiple Choice

An investor who writes a call option closes the position by​

• A) purchasing the stock​
• B) ​selling the option
• C) letting the option expire​
• D) repurchasing the option

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Definitions:

Grievous Losses

Refers to severe and deep losses that cause profound sorrow and distress.

Child

A young human being, usually under the age of puberty.

Grief Period

The duration of time during which an individual experiences intense sorrow and a range of emotional responses following the death of a loved one.

Adolescents

Individuals in the transitional stage of development between childhood and adulthood, typically characterized by significant physical, psychological, and social changes.