Which of the Following Statements About Call Options Is False

question 29

Multiple Choice

Which of the following statements about call options is false?

• A) A call is in the money if the stock price exceeds the exercise price.
• B) A call has no time value if its intrinsic value is zero.
• C) If a call is out of the money, its intrinsic value is zero.
• D) If a call is in the money, its intrinsic value is zero.

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Definitions:

Easier Goals

Goals that are more readily achievable or less challenging, often set to ensure a higher likelihood of success or to encourage initial progress.

Subordinate's Confidence

The belief and trust that an employee has in their capabilities and in the support they receive from their leader or organization.

Beneficial Qualities

Positive attributes or virtues that contribute to the effectiveness or success of an individual or entity.

Expectations

Anticipated outcomes or behaviors that are envisioned in a specific context.