The price that the buyer of a call option pays for the underlying asset if she executes her option is called the   A. premium B. exercise price C. execution price D. calling price

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter5: Financial Options
Section: Chapter Questions
Problem 1Q: Define each of the following terms: Option; call option; put option Exercise value; strike...
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The price that the buyer of a call option pays for the underlying asset if she executes her option is called the

 
  • A. premium
  • B. exercise price
  • C. execution price
  • D. calling price
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