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  3. Study Set
    Financial Management Theory and Practice Study Set 4
  4. Exam
    Exam 8: Financial Options and Applications in Corporate Finance
  5. Question
    If the Current Price of a Stock Is Below the Strike
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If the Current Price of a Stock Is Below the Strike

Question 2

Question 2

True/False

If the current price of a stock is below the strike price, then an option to buy the stock is worthless and will have a zero value.

Correct Answer:

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