Which of the Following Is False

question 78

Multiple Choice

Which of the following is false?

• A) A call option will sell for a fraction of the cost of the stock.
• B) A futures contract can be written for a commodity (such as wheat), or for a currency.
• C) A futures contract gives the owner the right, but not the obligation, to buy or sell a commodity at a specified price on a given future date.
• D) The specified price at which an option gives the owner the right to buy a stock at is called the stick price.

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