QUESTION 20 Delta of a short position in a put option is ...
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Finance
QUESTION 20
Delta of a short position in a put option is
a.
zero
b.
positive
c.
negative
d.
constant
QUESTION 21
You bought an at-the-money straddle with a strike price $100 and expiration one year. The call had a delta of 0.56 and the put had a delta of -0.44. Next instant, stock price increases by $1. Which of the following is true regarding your straddle value?
a.
Your straddle value did not change, because the call went up by $1 but the put went down by $1
b.
Your straddle value increased roughly by $0.12
c.
Your straddle value decreased roughly by $0.12
d.
None of the above
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