You Own Two SPX Put Options with a Strike of 1,600.What

question 58

Multiple Choice

You own two SPX put options with a strike of 1,600.What is the payoff at maturity for this option contract if the S&P 500 index is 1,622?

• A) -$2,200
• B) -$22
• C) $0
• D) $22
• E) $2,200

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Definitions:

Mechanical Aptitude Test

An examination designed to evaluate an individual's ability to understand and apply mechanical concepts and principles.

Content Validity

The extent to which a test or measure accurately assesses all aspects of the concept it intends to measure.

Improper Standardization

The faulty or inconsistent application of norms, rules, or measurements in research or assessment processes.

Criterion-related Validity

The extent to which a measure is related to an outcome or criterion, indicating how well the test predicts a specific aspect of a person's behavior or performance.