A Call Option Whose Exercise Price Exceeds the Spot Price

question 40

Multiple Choice

A call option whose exercise price exceeds the spot price is said to be:

• A) in-the-money.
• B) at-the-money
• C) out-of-the-money.
• D) over-the-spot.

---

Definitions:

Endocrine System

A network of glands in the body that secrete hormones directly into the circulatory system to regulate the body's growth, metabolism, and homeostasis.

Hormones

Chemical messengers produced by glands in the endocrine system, which regulate various functions in the body, including growth, metabolism, and mood.

Nephrons

are the microscopic functional units of the kidney, responsible for filtering blood and producing urine.

Dopamine

A neurotransmitter involved in controlling movement and posture, moderating mood, and affecting motivation and reward mechanisms in the brain.