A Hedge Strategy Known as a Collar Agreement Involves the Simultaneous

Multiple Choice

A hedge strategy known as a collar agreement involves the simultaneous

A) Purchase of an in-the money put and purchase of an out-of-the-money call on the same underlying asset with same expiration date and market price.
B) Sale of an out-of-the money put and sale of an out-of-the-money call on the same underlying asset with same expiration date and market price.
C) Purchase of an in-the money put and purchase of an in-the-money call on the same underlying asset with same expiration date and market price.
D) Purchase of an out-of-the money put and sale of an out-of-the-money call on the same underlying asset with same expiration date and market price.
E) Sale of an in-the money put and purchase of an in-the-money call on the same underlying asset with same expiration date and market price.