You Have a Long Position in a Stock That You

question 12

Multiple Choice

You have a long position in a stock that you purchased for $100, a short position in a call and a long position in a put, both at strike K = 100. At maturity the stock price is S_T, and you liquidate your stock and option positions. Your gross payoff (cash flow) is

• A) 0
• B) S_T.- 100
• C) 100
• D) 100 - S_T

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Definitions:

Agrarian-Base

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A formal review of a company's endeavors, procedures, and code of conduct regarding social responsibility and its contribution to society's well-being.

Triple Bottom Line

A sustainability framework that measures a company's success based on three Ps: People, Planet, and Profit, highlighting the importance of social and environmental responsibility.