Match the Function $f ( x ) = \frac { 2 x ^ { 2 } } { x ^ { 2 } + 2 }$

question 74

Multiple Choice

Match the function $f ( x ) = \frac { 2 x ^ { 2 } } { x ^ { 2 } + 2 }$ with one of the following graphs.

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Definitions:

Break-Even Price

The market price that an asset must reach for an investor to recover their initial investment without making a profit or loss.

Call Option

A financial contract that gives the buyer the right, but not the obligation, to buy an asset at a specified price within a specified time.

Premium

Premium often refers to the additional cost above the normal or nominal amount, in contexts such as insurance payments, above-par bond prices, or the price paid for options contracts.

Lookback Options

A type of option which allows the holder to "look back" over the time period of the option to select a price that is most advantageous for exercising their option.