An American Call Option Allows the Buyer to

question 93

Multiple Choice

An American call option allows the buyer to

• A) sell the underlying asset at the exercise price on or before the expiration date.
• B) buy the underlying asset at the exercise price on or before the expiration date.
• C) sell the option in the open market prior to expiration.
• D) sell the underlying asset at the exercise price on or before the expiration date and sell the option in the open market prior to expiration.
• E) buy the underlying asset at the exercise price on or before the expiration date and sell the option in the open market prior to expiration.

---

Definitions:

Destructive

Causing damage or harm in a deliberate or careless manner, potentially leading to negative outcomes or reduced functionality.

Hostility

Aggressive behaviors, actions, or attitudes stemming from dislike or animosity.

Process Conflict

The clash in viewpoints in relation to how to carry out work.

Carry Out

To execute or perform a task, duty, or plan as planned or expected.