What Is an Option

question 12

Multiple Choice

What is an option?

• A)A contract that gives the holder the right to sell an instrument at a pre-specified price.
• B)A contract that is derived from some other underlying quantity,index,asset or event.
• C)A contract that gives the holder the right to acquire an instrument at a pre-specified price.
• D)A contract that gives the holder the right to buy or sell something at a specified price.

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Definitions:

Cerebrum

The largest part of the brain, responsible for voluntary activities, language, speech, sensory perception, and problem-solving.

Corpus Callosum

The large band of neural fibers connecting the two hemispheres of the brain and facilitating interhemispheric communication.

Split Brain

A condition, often resulting from surgery to treat epilepsy, where the two hemispheres of the brain are disconnected, affecting communication between them.

Prefrontal Lobotomy

A surgical procedure used in the past to treat certain mental disorders, involving the removal or severing of connections to the prefrontal cortex.