[amp_mcq option1=”European option” option2=”American option” option3=”Australian option” option4=”money option” correct=”option1″]<\/p>\n
The correct answer is A. European option.<\/p>\n
A European option is an option contract that can only be exercised on the expiration date. American options, on the other hand, can be exercised at any time up to and including the expiration date. Australian options are similar to European options, but they can only be exercised on the last trading day of the expiration month. Money options are options that are in the money, meaning that the strike price is below the market price for a call option or above the market price for a put option.<\/p>\n
Here is a table that summarizes the key differences between European, American, and Australian options:<\/p>\n
| Option type | Exercise date |
\n| ———– | ———– |
\n| European option | Expiration date only |
\n| American option | Any time up to and including the expiration date |
\n| Australian option | Last trading day of the expiration month only |<\/p>\n
I hope this helps! Let me know if you have any other questions.<\/p>\n","protected":false},"excerpt":{"rendered":"
[amp_mcq option1=”European option” option2=”American option” option3=”Australian option” option4=”money option” correct=”option1″]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[945],"tags":[],"class_list":["post-49074","post","type-post","status-publish","format-standard","hentry","category-financial-management","no-featured-image-padding"],"yoast_head":"\n