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Consider the Following Equation: Boption = BS

question 22

Multiple Choice

Consider the following equation: boption = Consider the following equation: b<sub>option</sub> =   b<sub>S</sub> +   b<sub>B</sub> The term   b<sub>B</sub> is: A)  always equal to zero since b<sub>B</sub> = 0. B)  always positive since B is always positive. C)  could be positive or negative depending on whether the option in question is a put or a call. D)  always negative since B is always negative. bS + Consider the following equation: b<sub>option</sub> =   b<sub>S</sub> +   b<sub>B</sub> The term   b<sub>B</sub> is: A)  always equal to zero since b<sub>B</sub> = 0. B)  always positive since B is always positive. C)  could be positive or negative depending on whether the option in question is a put or a call. D)  always negative since B is always negative. bB
The term Consider the following equation: b<sub>option</sub> =   b<sub>S</sub> +   b<sub>B</sub> The term   b<sub>B</sub> is: A)  always equal to zero since b<sub>B</sub> = 0. B)  always positive since B is always positive. C)  could be positive or negative depending on whether the option in question is a put or a call. D)  always negative since B is always negative. bB is:

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