Which of the Following Statements Is True

question 202

Multiple Choice

Which of the following statements is true?

• A)Human nature is basically good.
• B)Human nature is generally bad.
• C)Human nature is a combination of both socially constructive and destructive tendencies.
• D)Human nature exhibits either prosocial behaviour or antisocial behaviour but not both.

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Definitions:

In The Money

Describes an option with an intrinsic value where a call option's strike price is below the market price of the underlying asset or a put option's strike price is above.

Time Value

The additional amount an investor is willing to pay for an option above its intrinsic value, based on the time remaining until its expiration.

Put Option

A financial contract that gives the holder the right, but not the obligation, to sell a specified amount of an underlying asset at a set price within a specified timeframe.

In-The-Money

A term used in options trading to describe an option that has intrinsic value, where the strike price is favorable compared to the current market price of the underlying asset.