Bob's DJIA Index Option Had a Strike Price of 98

question 78

Multiple Choice

Bob's DJIA Index option had a strike price of 98.When he exercised the option, the Dow was at 10,050.

• A) Bob received $2,050 from the writer of the contract.
• B) Bob paid $250 to the writer of the contract.
• C) Bob received $250 from the writer of the contract.
• D) Bob received $700 from the writer of the contract.

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Definitions:

Tepid Water Sponging

A method of gently applying lukewarm water to the skin, often used to reduce fever or cleanse the body.

Glass Mercury Thermometer

A traditional thermometer that uses mercury encased in glass to measure temperature.

Catheterization

A medical procedure used to drain urine from the bladder when a patient is unable to do so naturally, involving the insertion of a tube called a catheter.

CISC

Clean Intermittent Self-Catheterization, a technique used to empty the bladder using a catheter, performed by the patient or a caregiver at regular intervals.