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Which One of the Following Statements Concerning Options Is Correct

Question 21

Multiple Choice

Which one of the following statements concerning options is correct?


A) The owner of a call is entitled to the dividends paid on the underlying shares of stock.
B) Option holders can profit on movements of the price of the underlying security.
C) One option covers 2,000 shares.
D) A put gives the option holder the right to buy a stated amount of securities.

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