9. Futures contracts specify commodity amounts and delivery dates. Select one: True False

11. A call writer can terminate his position anytime by: Select one:

a.Writing a second call b.Buying a put c.Buying an identical call d.Writing a put

12. An option is a wasting asset because it's _________ as its expiration nears. Select one:

a.Intrinsic value approaches zero b.Time value approaches zero c.Intrinsic and time value are equal d.Security price approaches zero.

14. An investor buys 100 shares of ENCANA at $94.00/share and writes a call with a strike price of $80.00 for $8.00. The positions are closed with the stock is at $90.00. The maximum gross gain on the transactions is: Select one:

a.$600.00 b.$400.00 c.-$400.00 d.$600.00