Which of the Following Statements Is TRUE

question 60

Multiple Choice

Which of the following statements is TRUE?

• A)An American option's premium almost never declines below its intrinsic value.
• B)If a call is in the money,its intrinsic value equals zero.
• C)The speculative premium reflects the option's immediate value.
• D)If the exercise price of an put is less than the stock price,the put is "out of the money."

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Definitions:

Responsive Supply Chain

A supply chain designed to quickly adapt to market changes and customer demands, emphasizing flexibility and speed.

Dell

A multinational computer technology company that develops, sells, repairs, and supports computers and related products and services.

Logistics Costs

Expenses associated with the planning, implementing, and controlling the efficient, effective forward and reverse flow and storage of goods, services, and related information.

Customer Service

Assistance and advice provided by a company to those people who buy or use its products or services.