Practice Tests For IT & Nursing
Question # 61

A speculator shorts 1 T-bond futures at 122-16. Contract = $100,000, tick = 1/32 ($31.25). Price falls to 121-16. Profit?

Options:

A.

$500

B.

$1,000

C.

$1,500

D.

$3,125

Question # 62

Buying two deferred contracts and selling one nearby is:

Options:

A.

Ratio spread

B.

Butterfly spread

C.

Reverse spread

D.

Intercommodity spread

Question # 63

A trader buys a call for 6¢. Strike = 90. Futures settle at 97. Intrinsic value?

Options:

A.

B.

C.

D.

13¢

Question # 64

Which option strategy establishes a maximum selling price for a producer?

Options:

A.

Long put

B.

Short call

C.

Long call

D.

Short put

Question # 65

Gold contract = 100 oz. Trader longs at $1,910, exits at $1,915. Profit?

Options:

A.

$250

B.

$400

C.

$500

D.

$600

Viewing question 13 out of 14 questions


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