You Buy One Home Depot June 60 Call Contract and One

question 17

Multiple Choice

You buy one Home Depot June 60 call contract and one June 60 put contract.The call premium is $5 and the put premium is $3. Your strategy is called

• A)a short straddle.
• B)a long straddle.
• C)a horizontal straddle.
• D)a covered call.
• E)None of the options

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Interest Rate

The percentage charged on a loan or paid on savings, indicating the cost of borrowing or the reward for saving.

Price To Earnings Ratios

A financial metric that measures a company's current share price relative to its per-share earnings, used to evaluate its relative value.

Interest Rate

The amount charged, expressed as a percentage of the principal, by a lender to a borrower for the use of assets over a specific period.

Interest Rate

The percentage of a sum of money charged for its use, commonly expressed as an annual percentage rate.