An American Option Can Be Exercised

question 58

Multiple Choice

An American option can be exercised

• A) only on its expiration date.
• B) at any central security exchange.
• C) anytime during its life.
• D) only when the stock pays dividends.

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Definitions:

Observational Learning

The process of learning through watching others, retaining the information, and then later replicating the behaviors that were observed.

Prosocial Behavior

Positive, constructive, helpful behavior. The opposite of antisocial behavior.

Classical Conditioning

A training process in which two stimuli are repeatedly coupled; the response that first comes from the second stimulus, in the end, comes from the first stimulus without the second.

Mirror Neurons

Neurons that fire both when an individual acts and when the individual observes the same action performed by another, thought to be fundamental in learning through imitation and in understanding the intentions of others.