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154
13.When a six-month option is purchased
A.The price must be paid in full
B.Up to 25% of the option price can be borrowed using a margin account
C.Up to 50% of the option price can be borrowed using a margin account
D.Up to 75% of the option price can be borrowed using a margin account
A.The price must be paid in full
B.Up to 25% of the option price can be borrowed using a margin account
C.Up to 50% of the option price can be borrowed using a margin account
D.Up to 75% of the option price can be borrowed using a margin account
Answer: A
Only options lasting more than 9 months can be bought on margin.
Only options lasting more than 9 months can be bought on margin.
Flashcard info:
Author: CoboCards-User
Main topic: Finance & Investment
Topic: Derivatives
Published: 27.10.2015