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    Exam 21: Option Applications and Corporate Finance
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    Suppose That a Stock Sells at a Price of $40
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Suppose That a Stock Sells at a Price of $40

Question 91

Question 91

Multiple Choice

Suppose that a stock sells at a price of $40 on the expiration date. Compute the price of a call option if the option strike price is $20.


A) $20
B) $30
C) $40
D) $50

Correct Answer:

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