Which of the Following Observations Cannot Be Explained by the Big

question 54

Multiple Choice

Which of the following observations cannot be explained by the Big Bang theory unless we assume that an episode of inflation occurred?

• A) The fact that the temperature of the cosmic microwave background is almost the same everywhere
• B) The fact that about 25% of the ordinary matter in the universe consists of helium
• C) The existence of the cosmic microwave background
• D) The fact that the universe is expanding

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Definitions:

Time Value

The portion of an option's premium that is attributable to the amount of time remaining until the expiration of the option contract.

At-The-Money

A situation in options trading where the option's strike price is equal to the market price of the underlying asset.

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 specific time period.

Stock Price

The current price at which a share of a company is traded on the stock market, reflecting the value the market places on the company.