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I. American options can only be exercised at expiry
II. European options can be exercised at any time up to expiry
III. Bermudan options can be exercised at any time up to expiry except at certain times IV. A European option can never be worth more than an American option
A. I and III
B. IV only
C. II, III and IV
D. I and II
Answer: B
Explanation:
Explanation
Remember that:
- American options can be exercised at any time up to expiry
- European options can only be exercised at expiry
- Bermudan options can be exercised prior to expiry but only at certain dates or during certain specified periods, and not otherwise
- Since an American option can be exercised at any time prior to expiry while a European option can only be exercised at expiry, an American option will always be worth more than a European option Therefore the first three statements are incorrect and Choice 'd' is the correct answer.

NEW QUESTION: 2
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(Choose two.)
A. telnet
B. nc
C. netmap
D. cat
E. nettalk
Answer: A,B

NEW QUESTION: 3
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GoldenGate processes?
A. GETPORTINFO
B. CHILDPORTS
C. ALLOWEDPORTS
D. DYNAMICPORTLIST
Answer: D
Explanation:
Explanation/Reference:
Explanation:

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