A strike price is the price where:
A) A futures contract reaches maturity.
B) The owner of an options contract can transact.
C) The bank sets as an out-of-bounds in contract negotiations.
D) All currencies are brought to a standardized price.

Question

Quizplus · Accepted Answer

A strike price is the price at which the owner of an options contract can buy or sell the underlying asset (such as a stock) upon exercising their right to do so. It is not related to futures contracts, banking negotiations, or standardizing currencies.

A Strike Price Is the Price Where