Which of the following statements regarding the seller of a call and a put is TRUE A call writer:()
A. expects the price of the underlying stock to increase above the strike price and a put Writer expects the price of the underlying stock to decrease below the strike price.
B. and a put writer both expect the price of the underlying stock to decrease below the strike price.
C. expects the price of the underlying stock to decrease below the strike price and a put writer expects the price of the underlying stock to increase above the strike price.
参考答案：C
解析：
This question is really asking about "moneyness," ( which is usually thought of from the option buyer’s perspective) from the option writer’s ( or seller’s) perspective. In general, the writer prefers that the buyer not exercise, because the writer’s gain is limited to the premium while the potential loss may be unlimited ( in the case of a call). Thus, the moneyness for the seller is opposite that of the buyer.