For a Given Options Contract, the Options Premium Will Be

question 20

Multiple Choice

For a given options contract, the options premium will be smaller

• A)the lower the strike price relative to the spot price for call options.
• B)the farther away the expiration date.
• C)the lower the strike price relative to the spot price for put options.
• D)the higher the strike price relative to the spot price for put options.

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Definitions:

Jurisdictions

The official power to make legal decisions and judgments, typically defined by geographic area or specific legal matters.

Canada

A country in North America known for its vast landscapes, multicultural society, and strong legal framework for business and human rights.

Vicarious Liability

A legal principle where a party is held responsible for the actions or omissions of another person, typically in employer-employee relationships.

Spoliation

The intentional, reckless, or negligent destruction, alteration, or concealment of evidence that is relevant to a legal proceeding.