Multiple Choice
If the price of a stock exceeds the exercise price of a call, the call is said to be:
A) naked.
B) out of the money.
C) in the money.
D) covered.
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q31: What is put-call parity? How is it
Q32: An option buyer has three courses of
Q33: A writer of a call can terminate
Q34: What is meant by portfolio insurance?
Q35: The exercise price on an option is
Q37: A protective put is a strategy in
Q38: What organizational feature of options trading prevents
Q39: In the Black-Scholes option pricing model:<br>A) all
Q40: For a dividend paying stock, an investor
Q41: To hedge a short sale, an investor