What factor makes it easier for the sellers or writers of options to "win"? The usually are more knowledgeable about how the stock market works They own the underlying security Each day that goes by the odds of a price movement become less and less O Implied volatility is usually on the seller's side If an option contract is trading at $5.45, what is the premium? O O O O O O O 2 O $5.45 $45 $545 $450 For investors, what does high volatility usually signify? O Risk and uncertainty Implied volatility Prices are going up Prices are going down True or False - High implied volatility affects the seller more than the buyer? False True The Black-Scholes model helps option traders in what major way? Olt calculates the correct strike price. It calculates the annual rate of return. It calculates the implied volatility Olt calculates the expected price of the option at expiration date. What does it mean when more investors are buying calls than puts? O The option is on sale They are hedging against inflation 0 Market sentiment is bullish Market sentiment is bearish There are many more put than call options for a stock you're looking at, what should you do? Sell your holdings in that stock Double down, and buy more shares Do nothing Analyze whether the put interest is legitimate True or False - The historical average for investors buying puts or calls is about the same for both. True False