If the stock market price is higher than the strike price, then the call option Options: A . &nbspprice will be lower B . &nbsprate will be higher C . &nbspprice will be higher D . &nbsprate will be lower

If the stock market price is higher than the strike price, then the call option

Question

If the stock market price is higher than the strike price, then the call option

Options:

A . price will be lower

B . rate will be higher

C . price will be higher

D . rate will be lower

Answer: Option C
Answer: (c).price will be higher

Was this answer helpful ?

Next Question

Question 1. The first step in binomial approach of option pricing is to....

Question 2. The present value of portfolio $850 and the current option price $1620 then the value of stock included in portfolio wou....then the value of stock included in portfolio would be

Question 3. The situation in financial options in which the strike price is less than current price of stock is classified as....

Question 4. In binomial approach of option pricing model, the fourth step is to create....

Question 5. An option that gives investors the right to sell a stock at predefined price is classified as....

Question 6. In put call parity relationship, the present value of exercise price is added to call option which is equal to....

Question 7. The value of stock is $250 and the call option obligation is $100 then the current value of portfolio would be....

Question 8. The second step in binomial approach of option pricing is to define range of values....

Question 9. A type of contract in which the contract holder has the right to sell an asset at specific period for predetermining pri....asset at specific period for predetermining price is classified as

Question 10. The third step in binomial approach of option pricing is to....

Chapter 1 - GLOBAL STEEL SCENARIO & INDIAN STEEL INDUSTRY Part 1 : (13-04-2024) INDUSTRY AND COMPANY AWARENESS (ICA)

Direction Sense Test Part 1 Reasoning (Hindi)

Chapter 1 - RMHP / OHP / OB & BP Part 1 : (14-02-2024) GPOE

Cube & Cuboid Part 1 Reasoning (Hindi)

Data Interpretation (DI) Basic Concept Reasoning (Hindi)

Counting Figures Part 1 Counting Of Straight Lines Reasoning (Hindi)

Sail E0 free webinar Webinars

Real Numbers Part 7 Class 10 Maths

Real Numbers Part 1 Class 10 Maths

Polynomials Part 1 Class 10 Maths

DSP Combined 1 Free Revision Test SAIL JO E-0

GPOE / GPA Combined 1 Free Revision Test SAIL JO E-0

BSP Plant Specific Review Test SAIL JO E-0

BSL Combined 1 Free Revision Test SAIL JO E-0

GFM Combined 1 Free Revision Test SAIL JO E-0