Impossibility of Performance Is Subjective,meaning That One of the Parties

question 12

True/False

Impossibility of performance is subjective,meaning that one of the parties may unilaterally decide that performance is impossible,thus discharging the contract.

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Definitions:

Implicit Call Option

An option embedded in a financial security that allows the issuer to repurchase it at a predetermined price before maturity, not explicitly stated within the contract.

ESOs

Employee Stock Options (ESOs) are a form of equity compensation granted by companies to employees, allowing them to purchase company shares at a fixed price for a certain period.

Call Options

Financial derivatives that give the holder the right but not the obligation to buy a specific stock or asset at a predetermined price within a specified period.

American Call Option

An options contract that allows the holder to buy the underlying asset at a specified price at any time before or on the expiration date.