Which of the following is NOT true ( )
A: When a CBOE call
option on IBM is exercised, IBM issues more stock
B: An American
option can be exercised at any time during its life
C: An call option
will always be exercised at maturity if the underlying asset price is
greater than the strike price
D: A put option will
always be exercised at maturity if the strike price is greater than
the underlying asset price.
A: When a CBOE call
option on IBM is exercised, IBM issues more stock
B: An American
option can be exercised at any time during its life
C: An call option
will always be exercised at maturity if the underlying asset price is
greater than the strike price
D: A put option will
always be exercised at maturity if the strike price is greater than
the underlying asset price.
举一反三
- An American put option gives its holder the<br/>right to _________. A: buy the underlying asset at the exercise price on or before the expiration date B: buy the underlying asset at the exercise price only at the expiration date C: sell the underlying asset at the exercise price on or before the expiration date D: sell<br/>the underlying asset at the exercise price only at the expiration<br/>date
- A floating<br/>lookback call option pays off which of the following ( ) A: The amount by<br/>which the final stock price exceeds the minimum stock price B: The amount by<br/>which the maximum stock price exceeds the final stock price C: The amount by<br/>which the strike price exceeds the minimum stock price D: The amount by<br/>which the maximum stock price exceeds the strike price
- An American option can be exercised at any time during its life.
- Comparing a long position in put option with a short position in call option, we find that ( ). A: both positions have rights but no obligations B: both positions benefit from an increase in the price of the underlying asset C: both positions will lose money if the price of the underlying remains unchanged D: both positions are potential sellers of the underlying asset
- A __________ gives its holder the right to sell an asset for a specified exercise price on or before a specified expiration date. A: call option B: futures contract C: put option D: interest rate swap