A Writer of a Call Option Will Want the Value

question 67

Multiple Choice

A writer of a call option will want the value of the underlying asset to ________, and a buyer of a put option will want the value of the underlying asset to ________.

• A) decrease; decrease
• B) decrease; increase
• C) increase; decrease
• D) increase; increase

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Definitions:

Trivial Details

Information or aspects that are considered insignificant or of little importance in the larger context or scheme of things.

Expressed Emotion

Expressed Emotion refers to a measure of the family environment that is based on how much criticism, hostility, and emotional over-involvement are expressed towards a family member with a mental illness.

Schizophrenia

A chronic brain disorder known for affecting a person's thinking, feeling, and behavior, leading to symptoms like delusions, hallucinations, and disorganized speech.

Relapse

A return to a previous state of health deterioration or the reappearance of symptoms after a period of improvement or recovery.