Why Are Options Most Likely So Attractive to Companies

question 76

Multiple Choice

Why are options most likely so attractive to companies?

• A)The writer of the option does not charge the company any fee for writing the option.
• B)Options provide companies with more flexibility than a forward contract.
• C)Options are usually cheaper than forward contracts.
• D)Options can be used for only foreign-exchange deals.

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Definitions:

Medical Care

The diagnosis, treatment, and prevention of disease, illness, injury, and other physical and mental impairments in human beings through the application of professional health services.

Compassionate Love

A form of love that involves feeling deep empathy, care, and concern for the wellbeing of another individual, often motivating altruistic behavior.

Prayer

A spiritual practice involving communication or communion with a deity or the divine, often for the purpose of worship, request, or thanksgiving.

Being Spiritual

The practice or quality of being concerned with the human spirit or soul as opposed to material or physical things.