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Which of the Following Statements About a Call Option Is

Question 1

Multiple Choice

Which of the following statements about a call option is true?


A) A call option is the obligation to buy the underlying asset.
B) A call option always has time value up to and including expiration.
C) A call option is in the money if the asset price is less than the strike price.
D) A call option is at the money if the asset price is the same as the strike price.

Correct Answer:

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