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ACI

3I0-012 · Question #38

The exercise price in an option contract is:

The correct answer is B. The price at which the transaction on the underlying instrument will be carried out if and when the. See the full explanation below for the reasoning.

Question

The exercise price in an option contract is:

Options

  • AThe price of the underlying instrument at the time of the transaction
  • BThe price at which the transaction on the underlying instrument will be carried out if and when the
  • CThe price the buyer of the option pays to the seller when entering into the options contract
  • DThe price at which the two counterparties can close-out their position

How the community answered

(50 responses)
  • A
    8% (4)
  • B
    84% (42)
  • C
    2% (1)
  • D
    6% (3)

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Full 3I0-012 Practice