Suppose You Write a Covered Put Option by Depositing a Cash

question 3

Multiple Choice

Suppose you write a covered put option by depositing a cash amount equal to the strike price in your brokerage account.Then which of the following statements is INCORRECT?

• A) This is a covered strategy.
• B) This is a hedged strategy.
• C) This is a put writing strategy.
• D) This is similar to a short put strategy.
• E) This is an uncovered strategy.

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Definitions:

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significant developmental events or achievements that are typically reached by most individuals at a certain age which reflect physical or cognitive development.

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