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A Stock Option Is a Right to Buy

Question 12

Multiple Choice

A stock option is a right to buy:


A) shares of the company's stock at the stock's current price.
B) shares of the company's stock at half the stock's current price.
C) shares of the company's stock at a predetermined price at some point in the future.
D) bonds issued by the company.
E) stock in an underperforrning company.

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