The difference between an American call option and a European call option is:
A) the European call has a final exercise date.
B) the American call trades only on domestic stocks.
C) the European call can be exercised only on one day.
D) the American call generates profits regardless of which direction the stock moves.

Question

Quizplus · Accepted Answer

A European call option can only be exercised on its expiration date, whereas an American call option can be exercised at any time before or on its expiration date.

The Difference Between an American Call Option and a European