A Money Spread Involves Buying and Selling Call Options in the Same

question 33

Multiple Choice

A money spread involves buying and selling call options in the same stock with

• A) The same time period and exercise price.
• B) The same time period but different exercise price.
• C) A different time period but same exercise price.
• D) A different time period and different exercise price.
• E) Options in different markets.

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Definitions:

Preauthorized Electronic Transfer

An automatic transfer of funds from one account to another, agreed upon in advance by the account holder.

Financial Institution

Organizations that provide financial services, including banks, credit unions, and insurance companies.

Written Notice

A formal notification provided in written form.

Bank Make Payment

The act of a bank processing a transaction and transferring the requisite funds from one account to another as instructed.