Questionnaire 4 of 10 · 10 questions
Selling puts and calls
Cash-secured puts, covered calls, strike selection and rolling.
Choose one answer per question. Explanations appear as you answer; your score appears after all ten.
- 01
You sell one $80 put for $2.10. Cash required, and breakeven?
- 02
The stock finishes exactly at your $80 strike. What happens?
- 03
A CSP shows 34% annualised. What is the most accurate reading?
- 04
You own shares at $50 and sell a $55 call for $1.20. The stock finishes at $70. Your profit?
- 05
Why is selling a covered call below your cost basis usually a mistake?
- 06
Strike A shows 18% annualised, strike B shows 34%. What can you conclude?
- 07
You buy back a put for $810 and sell a new one for $900. What did this roll accomplish?
- 08
A roll collects $90 for 30 more days on $9,500 of capital. How should you judge it?
- 09
Which filter should you apply before choosing a delta for a cash-secured put?
- 10
What is the strongest reason to roll rather than take assignment?