Multiple Choice
In a barrier option,
A) Price paths are bounced off the barrier.
B) Option payoffs are conditional on whether the underlying breached the barrier during the option's life.
C) Option payoffs are conditional on when the underlying breached the barrier during the option's life.
D) Conditional on the barrier being breached during the option's life, option payoffs differ based on how many times the barrier was breached.
Correct Answer:
Verified
Correct Answer:
Verified
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