Explanation
An increase in coupon brings the 'average' cash flows closer, thereby decreasing duration. The higher the coupon, the lower the duration.
An increase in yield discounts the cash flows that are further away more than it does the closer cash flows, so an increase in yield decreases duration.
An increase in coupon frequency brings the bond's cash flows closer, thereby decreasing duration. Decreasing the coupon frequency has the opposite effect.
An increase in maturity pushes the payments further out, thereby increasing duration.

Explanation
From the put-call parity, we know that Call - Put = Stock - Bank deposit. Since the bank deposit has a zero Gamma, and the Gamma of the Stock itself is also 0, we get the relationship Gamma of Call - Gamma of Put =
0. Therefore, if the Gamma of a call option is 0.08, the Gamma of the corresponding put option is also 0.08.

Explanation
This question relates to the Black Scholes PDE (partial differential equation). The Black Scholes PDE is derived by combining the results of a stock price following a Weiner process with a mathematical result known as Ito's lemma and holds true for all derivatives whose prices depend upon S, the price of the underlying and upon t, which indicates time.
The derivation of the Black Scholes PDE is beyond the scope of the PRM syllabus (and also of the author of this question), but we need to know what it is. The PDE can be written as:
202.21.q1
Substituting , this can also be written as
202.21.e
202.21.q2
Therefore the first and the second equations are correct, and the other two are wrong. Choice 'c' is the correct answer.
You should know the PDE in case there is a numerical question about it. The two ways of writing it (as I and II above in the question) express the same relationship. The BSM formula itself for valuing a vanilla European option is based upon the PDE. Most other options are also valued using the fundamental relationship expressed in the PDE.

Explanation
Repos are collateralized borrowing arrangements. They are used for providing short term funding. They are not used for managing credit risk exposures. They are also used by central banks as part of their money market operations. They are also useful for facilitating short positions, for example, in corporate bonds where the party desirous of shorting the bond may 'borrow' the bond on repo in order to be able to sell it short.

Explanation
'In store' delivery is for delivery in a standardized location, and the buyer is handed a 'warrant' that allows him to pick the goods up. This is the cheapest means of physical delivery. The other prices will be higher as they involve more costs for the seller who has to get the goods on board a ship, or to the docks, or insurance and freight as well. Choice 'c' is the correct answer.