Use the Table for the Questions Below

question 67

Multiple Choice

Use the table for the questions below
Consider the following information on options from the CBOE for Rackspace.
-Assume you want to buy five call option contracts with an exercise price closest to being at-the-money and that expires December 2010.The current price that you would have to pay for such a contract is:

• A)$550
• B)$110
• C)$475
• D)$300
• E)$525

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Definitions:

Cognitive Therapy

A type of psychotherapy that focuses on changing negative patterns of thought to improve emotional well-being and behavior.

Behavior Therapy

A type of psychotherapy that focuses on changing undesirable behaviors through conditioning techniques.

Bulimia

An eating disorder characterized by episodes of binge eating followed by purging to prevent weight gain.

Exposure Therapy

A psychological treatment that involves confronting fears directly and in a controlled manner to reduce the fear response over time.