Which of the Following Statements Is FALSE

question 10

Multiple Choice

Which of the following statements is FALSE?

• A)An American call on a non-dividend-paying stock has the same price as its European counterpart.
• B)The price of any call option on a non-dividend-paying stock always exceeds its intrinsic value.
• C)It is never optimal to exercise a call option on a dividend-paying stock early-you are always better off just selling the option.
• D)If the present value of the dividend payment is large enough,the time value of a European call option can be negative,implying that its price could be less than its intrinsic value.

---

Definitions:

Glomerular Filtration

The process by which the kidneys filter blood, removing excess fluids and waste products to form urine.

Tubular Secretion

The third process of urine formation in which substances move out of the blood in the peritubular capillaries into renal tubules.

Acute Renal Failure

A sudden and severe decrease in kidney function that requires immediate medical attention.

Poisons

Substances that cause disturbances to organisms, usually by chemical reaction or other activity at the molecular scale, when an organism absorbs a sufficient quantity.