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You Have Shorted a Call Option on WSJ Stock with a Strike

question 46

Multiple Choice

You have shorted a call option on WSJ stock with a strike price of $50.The option will expire in exactly six months.If the stock is trading at $45 in three months,what will you owe for each share in the contract?


Definitions:

Nonunionized Employees

Workers who are not members of a labor union and thus rely on individual agreements with their employers regarding work conditions, wages, and benefits.

Collective Agreement

A written contract negotiated between an employer and a labor union representing the workforce, outlining wages, hours, and conditions of employment.

Length of Service

The duration of time an employee has worked for a particular employer, usually considered in terms of years or other significant time units.

In-House Complaint Procedure

A formal mechanism within an organization for employees to report grievances or conflicts, typically involving HR mediation.

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