Which of the Following Will Increase in Price as the Value

question 72

Multiple Choice

Which of the following will increase in price as the value of the underlying asset decreases in price,from the option holder's perspective?

• A) call option
• B) put option
• C) a long future position.
• D) none of the above.

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Definitions:

Cleavage Furrow

The indentation that appears in a cell's surface when it is about to divide, leading to cytokinesis in animal cells.

Cytokinesis

The process during cell division in which the cytoplasm of a parent cell is divided into two daughter cells, following the separation of the cell nucleus during mitosis or meiosis.

Mitosis

A form of cellular division leading to the creation of two offspring cells, each possessing an identical number and type of chromosomes to that of the original nucleus, commonly seen in regular tissue development.

G₀ Phase

A phase in the cell cycle where cells are neither dividing nor preparing to divide, effectively in a resting state.