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Management · Q682

Financial Management

Graduate and Post Graduate · Management · question 682

Q682

If stock market price is higher than strike price so call option

A.
price will be lower
B.
rate will be higher
C.
price will be higher
Answer
D.
rate will be lower

Answer: Option C

Solution

Answer: Option C
Solution:
If stock market price is higher than strike price so call option price will be higher. A stock market, equity market or share market is the aggregation of buyers and sellers of stocks, which represent ownership claims on businesses; these may include securities listed on a public stock exchange, as well as stock that is only traded privately.