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At Maturity in an Asset-Or-Nothing Option Written on a Stock

Question 39

Multiple Choice

At maturity in an asset-or-nothing option written on a stock,


A) The holder has a choice of receiving the asset or nothing in exchange for paying the strike price.
B) The holder receives the stock in exchange for the strike price if the option should finish in-the-money, and nothing otherwise.
C) The holder receives the stock without paying anything in exchange if the option should finish in-the-money, and nothing otherwise.
D) The holder receives the stock in exchange for a pre-specified consideration (which could differ from the strike price) if the option should finish in-the-money, and nothing otherwise.

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