Examlex
Executives at Apple were aware that the demand for their latest phone,the iPhone 4,would be high.As a result,the company set a high price for the product before it was even introduced to the market.Apple engaged in ________.
Premium
The amount by which the price of a security, especially a bond or insurance policy, exceeds its principal amount or face value.
American-Style Option
A type of options contract that can be exercised at any time before expiration, offering more flexibility than European-style options.
European-Style Option
An option contract that can only be exercised on its expiration date, not before.
Call Option
A financial contract that gives the buyer the right, but not the obligation, to buy an asset at a specified price (strike price) within a specific time period.
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