A Stock Is Selling at $85 at the Expiration of an Option

question 24

Multiple Choice

A stock is selling at $85 at the expiration of an option contract.Which of the following options will most likely be exercised?

• A) Buyer of a call option with exercise price of $65
• B) Buyer of a put option with exercise price of $65
• C) Buyer of a call option with exercise price of $85
• D) Buyer of a put option with exercise price of $85

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