________ Tests a Numerical Amount to Ensure That It Does

question 63

Multiple Choice

________ tests a numerical amount to ensure that it does not exceed a predetermined value nor fall below another predetermined value.

• A)Completeness check
• B)Field check
• C)Limit check
• D)Range check

---

Definitions:

Black-Scholes Model

A mathematical model used for pricing European-style options and assessing the options' market value based on factors such as volatility, risk-free rate, and time to expiration.

Exercised

Refers to the act of implementing the rights granted by a financial contract, commonly in options trading where a buyer may execute the option.

Hedge Ratios

Financial ratios used to calculate the optimal amount of exposure needed to hedge (protect against risk) a position or portfolio.

Long Calls

An option strategy involving the purchase of call options, giving the buyer the right, but not the obligation, to purchase a security at a specified price within a certain time frame.