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    International Financial Management Study Set 6
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    Exam 7: Futures and Options on Foreign Exchange
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    American Call and Put Premiums
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American Call and Put Premiums

Question 70

Question 70

Multiple Choice

American call and put premiums


A) should be at least as large as their intrinsic value.
B) should be at no larger than their moneyness.
C) should be exactly equal to their time value.
D) should be no larger than their speculative value.

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