Which of the Following Statements Is False

question 19

Multiple Choice

Which of the following statements is false?

• A) The intrinsic value of an option is the value it would have if it expired immediately.
• B) A European option cannot be worth less than its American counterpart.
• C) Put options increase in value as the stock price falls.
• D) A put option cannot be worth more than its strike price.

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Definitions:

Consumer Debtors

Individuals or entities that owe money for personal, as opposed to business, expenses.

Chose In Action

The thing or benefit that is transferred in an assignment; intangible personal property, such as a claim or the right to sue.

Personal Property Security Act

Legislation that outlines the rules for creating and enforcing security interests in personal property, offering a way for creditors to secure repayment of debt.

Attachment

A legal process by which a court of law, at the request of a creditor, designates specific property owned by the debtor to be transferred to the creditor, or sold for the benefit of the creditor.