1. Selling a covered call is equivalent to
a. selling the put and buying the underlying stock
b. buying a put and selling a zero coupon bond
c. selling a put and selling the underlying stock
d. buying the underlying stock and selling a put
e buying a zero coupon bond and selling a put
2. Which one of these will increase both the value of a call and the value of a put?
a. decrease in the exercise price
b. increase in the stock price
c. decrease in the interest rate
d. increase in stock volatility
e. decrease in time to expiration