Which of the following is true of options?
A) The option writer pays money to the holder to acquire the option.
B) If the exercise price exceeds future share price,the put writer will sell the underlying for more than it is worth.
C) Future cash flows are never positive when writing an option.
D) If the future share price exceeds exercise price,the call writer will buy the underlying for less than its fair value.
Correct Answer:
Verified
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A)right to
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Q8: Which of the following is the correct
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