American Options Differ from European Options in What Way

question 44

Multiple Choice

American options differ from European options in what way?

• A) They can only be exercised on the day of expiry.
• B) They can be exercised any time up until expiry.
• C) They have no expiry date.
• D) Their premium is zero.

---

Definitions:

Culturally Specific

Adhering or relating to the unique traditions, values, beliefs, and practices of a particular culture or society.

Expressions of Pride

Refers to nonverbal and verbal actions demonstrating a positive evaluation of oneself or achievements, often involving posture, gestures, and speech.

Secure Attachment

A healthy attachment pattern observed in children who show distress when their caregiver leaves but are able to be comforted and feel secure when the caregiver returns.

Empathize

The capacity or act of understanding, being aware of, being sensitive to, and vicariously experiencing the feelings, thoughts, and experience of another.