A Call Option Priced at $2 with a Stock Price

question 20

Multiple Choice

A call option priced at $2 with a stock price of $30 and an exercise price of $35 allows the holder to buy the stock at

• A)$2
• B)$32
• C)$33
• D)$35
• E)none of the above

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Definitions:

Preconscious

In Freud’s topographic model, the part of personality that contains thoughts that can be brought into awareness with little difficulty.

Ego

In psychoanalytic theory, the part of the personality that mediates between the desires of the id, the norms of the superego, and the realities of the external world.

Topographic Model

A framework in Freudian psychoanalysis that divides the mind into the conscious, preconscious, and unconscious levels of awareness.

Preconscious

The part of the mind containing information that is not currently in conscious awareness but can be easily brought to consciousness.