For puts and calls, the exercise price is called
A) the market price.
B) the expected value.
C) the strike price.
D) the option price.

Question

Quizplus · Accepted Answer

The exercise price is also commonly known as the strike price for both put and call options. It is the price at which the holder of the option has the right to buy or sell the underlying asset. The other choices are not correct as the market price is the current price of the asset, the expected value is a statistical measure often used in financial analysis, and the option price refers to the cost of purchasing the option itself.

For Puts and Calls, the Exercise Price Is Called