The Profits on a Derivatives Position Are Fixed When a Bond's

question 44

Multiple Choice

The profits on a derivatives position are fixed when a bond's price falls below a certain point,but above that point the profits fall when the bond price rises. This profit profile fits which of the following positions?

• A)Purchased call option
• B)Written call option
• C)Purchased put option
• D)Written put option

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Definitions:

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Career Development

The progression and growth of one's career, facilitated by educational opportunities, training, and job experiences.

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The process of filling job vacancies within an organization by considering current employees for promotion or transfer to new positions.

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