The Purchase of a June 25 Call on XXO Stock

question 132

Multiple Choice

The purchase of a June 25 call on XXO stock and the sale of a June 30 call on XXO stock is known as a

• A)long straddle.
• B)short straddle.
• C)vertical spread.
• D)horizontal spread.

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Definitions:

Endocytosis

Bulk uptake of material through the cell membrane.

Receptor Mediated Endocytosis

This is a cellular process by which cells absorb metabolites, hormones, proteins – and in some cases viruses – by the inward budding of plasma membrane vesicles containing proteins with receptor sites specific to the molecules being absorbed.

LDLs

Low-density lipoproteins, often referred to as "bad" cholesterol, involved in the transport of cholesterol to cells.

Simple Diffusion

The movement of molecules from an area of higher concentration to an area of lower concentration without the need for energy.