Which Option Has the Highest Probability of Being Exercised Early

question 16

Multiple Choice

Which option has the highest probability of being exercised early?

• A) Non-dividend paying European option
• B) Dividend paying European option
• C) Non-dividend paying American option
• D) Dividend paying American option

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Definitions:

Digital Literacy

The ability to effectively find, use, evaluate, create, and communicate information using digital technologies.

Social Networking

The use of internet-based platforms to build social networks or social relations among people who share interests, activities, backgrounds, or real-life connections.

Digital Citizenship

The responsible use of technology by anyone who uses computers, the internet, and digital devices to engage with society on any level.

Digital Footprint

The trace or record left by an individual's activities in a digital environment, including internet usage, social media presence, and online transactions.