Which of the Following Statements Is FALSE

question 45

Multiple Choice

Which of the following statements is FALSE?

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

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Definitions:

Direct Marketing

A type of advertising strategy that aims to deliver promotional messages directly to potential customers on an individual basis, rather than through a mass medium.

Relationship Selling

A sales approach focused on building long-term relationships with customers, rather than just making immediate sales.

Television Advertising

A form of marketing communication that uses the medium of television to promote products, services, or ideas to a wide audience.

Special Interest Magazines

Publications targeting niche audiences with specific hobbies, interests, or demographic characteristics.