You Own 1,200 Shares of Banner Co

question 63

Multiple Choice

You own 1,200 shares of Banner Co.stock that is currently priced at $42 a share.Given this price,the option delta for a $40 call option on this stock is .664.How many $40 call options do you need to hedge against a -$1 change in the price of the stock?

• A)buy 1,613 options
• B)buy 1,713 options
• C)buy 1,8.7 options
• D)write 1,713 options
• E)write 1,807 options

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Relating to the geographical region that encompasses countries in Western Asia and Egypt.

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Refers to the customs, arts, social institutions, and achievements of the United States.

Capitalistic System

An economic system where private individuals or businesses own capital goods and the production of goods and services is based on supply and demand in the market.

Adam Smith

An 18th-century Scottish economist and philosopher, best known for his theories on free market economics, as described in his book "The Wealth of Nations."