A Zero Cost Collar

question 59

Multiple Choice

A zero cost collar:

• A) is risk-free.
• B) is designed to offset margin requirements.
• C) has a larger premium than a reverse collar.
• D) designed so the buyer has no net premium payment.
• E) None of the above.

---

Definitions:

Systematic Desensitization

A therapeutic technique used to gradually reduce phobia or anxiety through controlled exposure to the fear-inducing object or situation, combined with relaxation exercises.

Incapacitated

Describes a state where an individual is unable to act or respond due to injury, illness, or other impediments.

Psychoanalysis

A therapeutic approach developed by Freud that aims to explore unconscious motivations and conflicts through techniques like free association and dream interpretation.

Client-centered Therapy

A therapeutic approach that emphasizes providing a supportive emotional environment where clients can lead their own process of self-discovery and personal growth.