Why is a currency put or call not profitable to exercise when it is "at the money"?
A) because the spot equals the price but the premium is not recovered if it is exercised resulting in a loss
B) When an option is "at the money," the Exchange will charge a higher fee.
C) When it is "at the money," the Exchange shuts down trading of the option contract.
D) The Exchange will use mark to market accounting to record a loss.
Answer: A
You might also like to view...
Which type of defensive reaction involves using verbal aggression and sarcasm?
a. attacking the critic b. avoiding critical information c. distorting critical information d. compromising critical information
With security of data, information and systems being a top priority, companies are becoming reluctant to give tours of service desks to customers, visitors from other companies, and remote employees who are in the office for a meeting or training.
Answer the following statement true (T) or false (F)
Which of the following situations is a contractual sales force best suited for?
A) long-term sales boosts B) introductory life cycle stage C) stable markets D) long sales cycles
Mentally organizing a message before writing it does NOT
a. shorten the time spent composing the message. b. help ensure that ideas are presented clearly and logically. c. enable the writer to decide whether an inductive outline or a deductive outline is best. d. accomplish all any of the above.