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THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION:
The amount of time you have to wait at a particular stoplight is uniformly distributed between zero and two minutes.
-Sixty percent of the time,the stoplight will change before you have to wait X seconds,what is the value of X?
Expiration Date
Refers to the date on which a derivative contract (such as options or futures) ceases to exist and its right to execute is no longer valid.
Exercise Price
The exercise price is the price at which an option holder can buy (call option) or sell (put option) an underlying asset or security.
Call Option
An agreement in finance that allows the owner the option, but not the requirement, to purchase a stock, bond, commodity, or different asset at a determined price during a defined timeframe.
Writer
In the context of options, the seller of an option contract who is obligated to meet the terms of the contract if the option is exercised.
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