The Best Outcome for the Short Position Is When the Options

question 108

True/False

The best outcome for the short position is when the options lapse at expiry.

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Definitions:

Decrease Assets

A reduction in the total value of assets owned by an entity, occurring through expenses, losses, asset disposals, or using up assets in operations.

Financial Statement

Formal records of the financial activities and position of a business, person, or other entity, which include the balance sheet, income statement, and cash flow statement.

Income Statement

A report detailing a business's earnings, expenditures, and overall profit or loss for a certain timeframe.

Balance Sheet

A financial briefing that condenses the assets, liabilities, and equity shares of a business at a designated point in time.