Q.74 I know option B is right But why is option C wrong,is it because of the fact that the market have already entertained the news of bankruptcy and the prices are according to that only.

## SSEI QForum Latest Questions

Q. Assume a call option’s strike price is initially equal to the price of its underlying asset. Based on the binomial model, if the volatility of the underlying decreases, the lower of the two potential payoff values of the hedge portfolio: decreases. remains ...

For an ATM european option, call option will have a higher value then put option. Is it because of the fact that the cost of waiting to receive the exercise price is higher in put option. So,Let’s say the maturity is ...

Q) If an underlying asset’s price is less than a related option’s strike price at expiration, a protective put position on that asset versus a fiduciary call position has a value that is: lower. the same. higher. Not able to comprehend this one. Can ...

Can anyone please explain Call credit spread with the help of this example? Initial stock price 178.87 call credit spread- sell 180 call and buy 190 call entry price 3.12 (sold 180 call for 4.1 and bought 190 for .98) max profit 312 (3.12*100sh) max ...

A trader owns 55,000 units of a particular asset and decides to hedge the value of her position with futures contracts on another related asset. Each futures contract is on 5,000 units. The spot price of the asset that is ...