2. Create an Excel sheet that calculates the Black Scholes option price for a call option given the inputs of: a. Spot Price b. Strike Price c. Time to Maturity d. Interest rate e. Volatility

At the expiration of a futures contract, futures prices converge to __.     a. Option prices b. forward prices c. market prices d. spot prices

in options trading, margin must be posted by______

Explain in your own words what dynamic hedging is, and how a trader could profit by dynamically hedging an option if they have a forecast of volatility that is different to implied volatility.

.   Answer the following in a couple of sentences  c) Compare and contrast forwards with futures. d) Compare and contrast options with futures.

Identify the key parameters that influence option price. Discuss the impact of a rise and fall in the value of each parameter on the prices of put and call options.

The price level you choose for price protection on a call option is referred to as: A. The strike price B. The option premium C. The time value D. The intrinsic value

Consider the following information: Put Premium: $0.46 Strike Price: $32.82 Price of the underlying at initiation: $35.00 Calculate the breakeven price on a protective put option strategy (The breakeven price is the price of the underlying that would lead to a profit of $0).

Does at the money ,in the money, out of the money is used to tell about position of strike price in the market when buy or sell the option only (judge by comparing srike price and the spot price in market at that moment,Is it used to tell status of the option on expiration date by comparing srike price and the market price at expiration date or not, if not please explain to me by using some example to explain it.

The hedge ratio of a call option is A) A positive constantB) Negative and larger than -1 C) Positive and larger than 1 D) Positive and smaller than 1