You Have Determined That You Need -1,698 Call Options to Hedge

question 20

Multiple Choice

You have determined that you need -1,698 call options to hedge your stock portfolio. What should you do based on this information?

• A) buy 17 call option contracts
• B) buy 1,698 call option contracts
• C) write 17 call option contracts
• D) write 170 call option contracts
• E) write 1,698 call option contracts

---

Definitions:

Hatred

An intense dislike or ill will towards a person, group, or object, often characterized by hostility.

Repression

A defense mechanism where undesirable thoughts, memories, or desires are unconsciously blocked from conscious awareness.

Distressing Thoughts

Intrusive and upsetting thoughts that can cause significant emotional discomfort or anxiety.

Unconscious

The segment of the mind that remains beyond the reach of conscious awareness yet influences actions and feelings.