Use the Figure for the Question(s)below

question 27

Multiple Choice

Use the figure for the question(s) below.
-You have shorted a call option on WSJ stock with an exercise price of $50. The option will expire in exactly six months. If the share is trading at $60 in three months, what will you owe for each share in the contract?

• A)$60
• B)$10
• C)$0
• D)$50

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Statute

A formal written law enacted by a legislative body, governing a specific topic or area.

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Directions given by a judge to the jury regarding the laws pertinent to the case being considered.

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Courts that have authority over specific types of cases, often with restrictions on the geographical area, monetary limits, or subject matter.

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