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Which of the Following Statements Is True Regarding the Writer

Question 7

Multiple Choice

Which of the following statements is true regarding the writer of a call contract?


A) The call writer expects the stock to move upward.
B) The call writer expects the stock to remain the same or move down.
C) The call writer expects the stock to split.
D) The call writer expects to sell the stock prior to expiration of the option.

Correct Answer:

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