Suppose That Nielson Motors Stock Is Trading for $50 Per

question 17

Multiple Choice

Suppose that Nielson Motors stock is trading for $50 per share and that Nielson pays no dividends.What is the maximum possible price for a call option on Nielson Motors?

• A)$0
• B)$20
• C)$50
• D)infinite

---

Definitions:

B2B Market

Business-to-Business market, where transactions are conducted between companies, rather than between companies and consumers.

Macro Variables

Broad variables that describe the overall context of an economy, such as GDP, unemployment rates, inflation, and interest rates.

Micro Variables

Small-scale factors that can affect a business or research outcome; often specific to a particular area or sector.

Demographic Variables

Characteristics of populations used in market research, such as age, gender, income, and education, to segment markets.