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Author Archives: Anonymous

Consider an exchange traded put option with an underlying as…

Consider an exchange traded put option with an underlying asset of 100 shares of Intel common stock and a strike price of $30 per share. Intel announces a three-for-one stock split prior to the option expiration. After the stock split, how many shares of Intel may be sold to the writer if this put option is exercised?

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Which of the following groups at the CBOE are primarily resp…

Which of the following groups at the CBOE are primarily responsible for providing liquidity to the market as buyers and sellers of last resort?

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In Spanish, in your own words, explain the following term. …

In Spanish, in your own words, explain the following term.  Your explanation should make clear the meaning of the word.  Do not simply use the term in a sentence.  The idea is to explain the definition in Spanish.  Again, do not use any outside assistance to formulate your sentences. EL RECREO

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Translate: Yesterday he played video games.

Translate: Yesterday he played video games.

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The expiration date for an options contract is…

The expiration date for an options contract is…

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For options contracts on the same underlying asset with the…

For options contracts on the same underlying asset with the same expiration date, which ones have the greatest liquidity (or, equivalently, the greatest trading volume)?

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An options class consists of…

An options class consists of…

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The bid-ask spread for a given option series refers to the d…

The bid-ask spread for a given option series refers to the difference between the best bid quote and the best ask quote. Why is it considered a transactions cost? (Assume that the best ask quote is greater than the best bid quote, so that the spread is positive.)

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Consider an exchange traded put option with an underlying as…

Consider an exchange traded put option with an underlying asset of 100 shares of Intel common stock and a strike price of $30 per share. Intel announces a three-for-one stock split prior to the option expiration. After the stock split, what is the new strike price on this contract?

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Which of the following events for the common stock of a give…

Which of the following events for the common stock of a given company lead to changes in the contract terms for exchange listed options contracts?

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