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    Fundamentals of Corporate Finance Study Set 14
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    Exam 21: Option Applications and Corporate Finance
  5. Question
    A Share of Stock Can Be Thought of as a Call
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A Share of Stock Can Be Thought of as a Call

Question 22

Question 22

True/False

A share of stock can be thought of as a call option on the assets of the firm with a strike price equal to the face value of debt.

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