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An ______ gives the buyer the right, but not the obligation, to exercise the option at any time before the expiration date. European option Asian option American option Complex option

Question

An ______ gives the buyer the right, but not the obligation, to exercise the option at any time before the expiration date. European option Asian option American option Complex option

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Solution 1

An American option gives the buyer the right, but not the obligation, to exercise the option at any time before the expiration date.

Solution 2

An American option gives the buyer the right, but not the obligation, to exercise the option at any time before the expiration date.

Similar Questions

An European Option isQuestion 8Answera.Can be exercised  at any timeb.Can be exercised  at any  point   even  before  expiry  datec.Can not be Exercised only  at a specified date in futured.None of above

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What is the value of the call option at expiration?

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