Call options situation in which strike price is greater than current price of stock is classified as

A out-of-the-portfolio
B in-the-portfolio
C in-the-money
D out-of-the-money

Correct Answer: out-of-the-money

Call options situation in which strike price is greater than current price of stock is classified as in-the-portfolio. Call options are agreements that give the option buyer the right, but not the obligation, to buy a stock, bond, commodity or other instrument at a specified price within a specific time period.
Bissoy MCQ
#Commerce #Financial Management

Related Questions

Situation in financial options in which strike price is less than current price of stock is classified as
A in-the-money
B out-of-the-money
C out-of-the-portfolio
D in-the-portfolio
Based on the information below, how much did a certain telephone call cost? 1. The call lasted 1 minute 27 seconds 2. The cost for the first 30 second unit is Tk. 1.80, call duration more than 30 seconds costs Tk. 0.90 per 30 second unit 3. Any call duration less than 30 seconds is rounded up to the nearest 30-second unit.
A Tk. 1.80
B Tk. 2.61
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An investor who writes stock call options in his own portfolio is classified as
A due option
B covered option
C undue option
D uncovered option
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A Tk. 2000
B Tk. 2500
C Tk. 3000
D Tk. 4500
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A have volatile movement
B moves freely
C rarely moves
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B herring weighted index
C primary market index
D stock market index
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B marketability approach
C stock approach
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C John indexes
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C make-whole call provision
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A culminate
B cross
C clinch
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