Eric has an option position on Langdon stock that results in a zero dollar payoff when the stock price is equal to or greater than the option strike price. What did he do to obtain this position? Purchased a call option O Wrote a call option O Wrote a put option O Purchased a put option

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Eric has an option position on Langdon stock that results in a zero dollar payoff when the stock price is
equal to or greater than the option strike price. What did he do to obtain this position?
Purchased a call option
O Wrote a call option
O Wrote a put option
O Purchased a put option
Transcribed Image Text:Eric has an option position on Langdon stock that results in a zero dollar payoff when the stock price is equal to or greater than the option strike price. What did he do to obtain this position? Purchased a call option O Wrote a call option O Wrote a put option O Purchased a put option
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