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Identify the INCORRECT Statement

Question 15

Multiple Choice

Identify the INCORRECT statement.If we try to fit the following derivatives in a single-period framework,then:


A) an American call option becomes a European call option
B) an American put option becomes a digital put option
C) a futures contract simplifies to a forward contract
D) a swaption becomes a deterministic security
E) None of these answers are correct.

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