Q1: investors would consider buying European put options if they expected the price of the underlying stock to fall below the strike price at expiration?

true or false

Q2: find analysts dollar return assuming using 500 shares that stock sells for $71/share?

A. -500 B. 500 C. 0 D. none of the above

Q3: you sold 7 European call options of PQC stock price of $40 for $0.75. Calculate the dollar return on your options if they stock trades at $42 on expiration.

a. -525 b. 525 c. 875 d. -875 e. none of the above

Q4: a European call option is out of the money if the spot price at expiration is above the strike price.

true or false