It Is May 19 and You Own a June European

question 87

Multiple Choice

It is May 19 and you own a June European call on ABC Corp. with an exercise price of $50. The option trades at $40 and ABC is trading at $86. What should you do?

• A) Exercise the option now and take the profits.
• B) Buy more options on ABC Corp.
• C) Sell your ABC stock before its price declines.
• D)Sit and wait until the June expiration.

---

Definitions:

Sales Training

The process of providing the sales team with the skills, knowledge, and strategies required to effectively sell products or services and boost sales performance.

Civic Organizations

Groups formed to provide support to the members of a community in various aspects, including cultural, educational, and social services.

Professional Salesperson

An individual who specializes in selling products or services to customers in a knowledgeable and ethical manner.

Beliefs And Morals

Fundamental principles or convictions that individuals hold, which guide their behavior and decision-making.