Chapter 02 · Section 2.1
Positions
Suppose that Lara, an investor, has a long position in 10 December 350 CMX gold futures calls.
Please select the true statements:
a) Lara has limited loss and unlimited profit potential.
b) Lara has unlimited loss and limited profit potential.
c) Lara has the right to buy at 350 but no obligations.
d) Lara has the obligation to buy at 350 if she is assigned
e) a and c
f) b and c
Having a long position in an option means one has bought the option.