The Price Behavior of the Underlying Security Is the Primary

question 61

True/False

The price behavior of the underlying security is the primary determinant of the price of an option.

---

Definitions:

Anomie

A state or condition of society characterized by a breakdown or absence of social norms and values, often leading to social instability.

Primary labour market

Denotes sectors within the economy that offer stable, well-paid jobs with good working conditions, benefits, and opportunities for advancement.

Secondary labour market

Consists of jobs with lower pay, lesser benefits, and less job security compared to the primary labor market, often involving manual or clerical work.

Careers

The occupation or professions that individuals engage in for a significant period of their life, often involving special training or education, and offering opportunities for progress.