What Is the Delta on a $20 Strike Call? Assume

question 21

Multiple Choice

What is the delta on a $20 strike call? Assume S = $22.00,σ = 0.30,r = 0.05,the stock pays a 1.0% continuous dividend and the option expires in 80 days?

• A) 0.790
• B) 0.820
• C) 0.850
• D) 0.880

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Definitions:

Spindle Apparatus

The spindle apparatus is a cellular structure composed of microtubules. It plays a critical role in chromosome separation during cell division.

DNA Duplicated

The process of a DNA molecule making an exact copy of itself, crucial for cell division and genetic inheritance.

S Phase

The phase of the cell cycle in which DNA is replicated, occurring between G1 phase and G2 phase.

Cytokinesis

Cytokinesis is the process during cell division in which the cytoplasm of a single eukaryotic cell is divided into two daughter cells.