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Use These Option Quotes to Answer This Question

question 89

Multiple Choice

Use these option quotes to answer this question:
Use these option quotes to answer this question:    -You want to sell four call option contracts on ZZ Industries stock at a strike price of $32.50 a share.How much will you receive in option premiums if you place this order today? A)  $300 B)  $1,290 C)  $1,320 D)  $728 E)  $546
-You want to sell four call option contracts on ZZ Industries stock at a strike price of $32.50 a share.How much will you receive in option premiums if you place this order today?

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Definitions:

Basis-of-The-Bargain

A concept in contract law indicating that parties have agreed to specific terms that are critical to their agreement and expectations.

UCC Section

A part of the Uniform Commercial Code, a set of laws that provide legal rules and regulations governing commercial or business dealings and transactions.

Defective Design

A flaw in the intended design of a product that makes it unsafe or unfit for its intended use.

SUV Model

A term used to describe a category of motor vehicles that combines elements of road-going passenger cars with features from off-road vehicles, like raised ground clearance or four-wheel drive.

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