18. You own shares of GeoMagnetic corp, currently worth $150 per share, and you wish to implement a zero-cost collar derivative strategy in order to protect your profits on the stock. Which of the following strategies will properly implement the collar? A. Write a put option and buy a call option B. Write a put option and write a call option C. Buy a put option and buy a call option D. Buy a put option and write a call option E. None of the above 19. You own 200 shares of Holocaust Corp, currently worth $75 per share. A put on the stock has a delta of -0.67. How many put do you need to buy to implement a delta hedge? Round your answer to the nearest whole number. A. 200 B. 134 C. 299 D. 50 E. None of the above 20. How can an out-of-the-money option have a value greater than zero? A. Useful as a tax deduction B. Has a possibility of going in-the-money C. Interest rates have no effect D. Out-of-the-money options always have a longer time to expiration E. None of the above 18. You own shares of GeoMagnetic corp, currently worth $150 per share, and you wish to implement a zero-cost collar derivative strategy in order to protect your profits on the stock. Which of the following strategies will properly implement the collar? A. Write a put option and buy a call option B. Write a put option and write a call option C. Buy a put option and buy a call option D. Buy a put option and write a call option E. None of the above 19. You own 200 shares of Holocaust Corp, currently worth $75 per share. A put on the stock has a delta of -0.67. How many put do you need to buy to implement a delta hedge? Round your answer to the nearest whole number. A. 200 B. 134 C. 299 D. 50 E. None of the above 20. How can an out-of-the-money option have a value greater than zero? A. Useful as a tax deduction B. Has a possibility of going in-the-money C. Interest rates have no effect D. Out-of-the-money options always have a longer time to expiration E. None of the above