ASE-Style Multiple Choice Which of the Following Statements Is LEAST-Likely

question 6

Multiple Choice

ASE-Style Multiple Choice Which of the following statements is LEAST-Likely true?

• A)Often, in the case of unibody cars, related damage is not near the area of impact, but some distance away.
• B)Badly damaged fan blades and pulleys can clue you in to a damaged engine water pump.
• C)New tires should not be listed in an estimate.
• D)Front motor mounts can be sheared even though the engine resettles back into position, hiding this type of damage.

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Definitions:

In The Money

A term describing an option contract that has intrinsic value, indicating it's profitable to exercise it.

Exercise Price

The price at which the holder of an option can buy (in the case of a call option) or sell (in the case of a put option) the underlying security.

Put Option

A financial contract giving the buyer the right, but not the obligation, to sell a specified amount of an underlying asset at a set price within a specified time.

In The Money

A term used in options trading to describe an option with intrinsic value - a call option with the underlying price above the strike price, or a put option with the underlying price below the strike price.