Consider the Following Statement Related to Buying a Put Option

question 43

Multiple Choice

Consider the following statement related to buying a put option.For a given stock price,the ____________ the position is held,the more time value it loses and the ___________ the profit;however,an exception can occur when the stock price is ___________.Identify the correct words for these two blanks.

• A)longer,lower,low
• B)longer,higher,high
• C)shorter,lower,low
• D)shorter,higher,high
• E)longer,flatter,low

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Definitions:

Queen Liliuokalani

The last reigning monarch of the Kingdom of Hawaii, who was overthrown by a coalition of American and European businessmen in 1893.

Annexation

The process by which one territory or state is taken over by another, often involving the incorporation of the annexed territory into the larger political entity.

New Imperialism

A period in the late 19th and early 20th centuries marked by a significant expansion of Western European powers and the United States into Asia, Africa, and the Pacific, often characterized by the acquisition of territories and the exploitation of resources.

Colonial Powers

Countries that have established colonies overseas to exploit resources, spread their culture, and exert political control.