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A European Option Can Only Be Exercised at the Expiration

question 91

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A European option can only be exercised at the expiration date, while an American option can be exercised any time prior to the expiration date.

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Definitions:

Hydrogen Ions

Positively charged ions (protons) formed when hydrogen atoms lose their electrons, often playing a significant role in chemical reactions and acidity.

Corrosive

Describing a substance that has the ability to wear away or destroy other materials through a chemical reaction, often leading to damage or deterioration.

Microbial Processes

These are biological reactions and activities carried out by microorganisms, playing critical roles in recycling nutrients in the environment.

Volcano Emissions

The release of gases, ash, and molten rock from a volcano, which can significantly impact air quality, climate, and the health of nearby ecosystems and human populations.

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