The Minimum Value of a Call Option Equals

question 94

Multiple Choice

The minimum value of a call option equals

• A) exercise price - the stock price.
• B) stock price - exercise price.
• C) call premium - (stock price - exercise price).
• D) put premium - (exercise price - stock price).

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Definitions:

Significant Savings

Refers to a substantial reduction in costs or expenses, often highlighted to convince customers of the economic benefits of a product or service.

Premium

An amount paid for a contract of insurance or the added cost for a product or service that offers higher quality or features.

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Tools used for writing, such as pens, pencils, markers, and others, essential in various forms of communication and art.

Desk Accessories

Items used to enhance organization, functionality, or aesthetics of a workstation, including pen holders, file trays, and lamps.