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What Action Would the Holder of a Maturing Call Option

Question 38

Multiple Choice

What action would the holder of a maturing call option take with an option which cost $300,had a strike price of $50 and the market value of the stock was $52?


A) Let the option expire unexercised
B) Exercise the option
C) Request that the $300 be returned
D) None of the above

Correct Answer:

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