A Call Option Is Regarded as Being In-The-Money If

question 55

Multiple Choice

A call option is regarded as being in-the-money if:

• A) it is written on a Treasury bond or another money market instrument.
• B) it has increased in value since it was first written.
• C) the price of the underlying asset is currently greater than the strike price.
• D) the price of the underlying asset is currently greater than the strike price plus the option premium.

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Definitions:

Natural Selection

The process by which heritable traits that make it more likely for an organism to survive and successfully reproduce become more common in a population over successive generations.

Biological Systems

Complex networks of biologically relevant entities such as cells, organisms, or ecosystems that function through systematic interactions.

Interact

To act in such a manner as to have an effect on another; in biology, it often refers to the way biological entities, such as molecules or organisms, affect each other.

Interdependent

The reciprocal relationship between entities where each depends on the other, leading to a situation where their interactions significantly influence their viability or functionality.