American Style Options Can Only Be Exercised on Their Expiration

question 49

True/False

American style options can only be exercised on their expiration dates.

---

Definitions:

Present Value

The current worth of a future sum of money or stream of cash flows, given a specific rate of return.

Income Loss

A reduction in the amount of income generated or received.

Full-Ride Scholarship

A type of scholarship that covers all of a student's tuition, fees, and possibly living expenses for the duration of their studies.

Dollar Stream

A continuous flow of income or revenue often described in terms of the currency, notably used in financial planning and investment analysis.