It would be very kind of him/her if anyone can explain this
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Since you have not posted the entire picture of question its bit difficult to understand what actually is given.
But reading what is available here I can say that they have given IVs of all the strike prices of a stock and want to test that part.
So, as we know that higher the volatility, higher the premiums. Therefore option B is wrong because it says stablishing long position with out of the money options is more expensive. It is totally wrong as we can see out of the money strikes IVs are low that mean their premiums will not be that high as compare to At the money and In the money options. So, they are less expensive.
Option C is wrong because it is correct with respect to short position only not with respect to long position (Reason stated above)
Hence A is the correct answer as it says using out of the money options is expensive which is true if he buy OTM put options as IVs are high so their premiums as compare to going long with OTM call options.
Thank you so much Sir can you please tell me if this question was ever discussed by Sanjay Sir himself?? It would be very kind of you Thank you
Not specifically but definitely he had discussed about moneyness & volatility and its impact on premiums.