The Delta of a Call Option Is 0

question 16

Multiple Choice

The delta of a call option is 0.6. The current price of the call is $5 and the stock is at $100. What is the approximate price of the call if the stock price increases to $100.50?

• A) $4.70
• B) $5.30
• C) $5.60
• D) $8.00

---

Definitions:

Self-mutilation

The act of deliberately harming one's own body as a way to cope with emotional pain, stress, or frustration, often a symptom of psychological disorders.

Treatment Plan

A detailed, personalized program designed by healthcare professionals to treat a patient's disorder or disease.

Borderline Personality Disorder

A mental health disorder characterized by unstable moods, behaviors, and relationships.

Dialectical Behavior Therapy

A comprehensive cognitive-behavioral treatment that emphasizes individual psychotherapy and group skills training classes to help people manage emotional instability and interpersonal difficulties.