AFP
CTP · Question #148
(Topic 2) A treasury manager expects the price of a commodity to be highly volatile between the time of option purchase and exercise. Which option style would provide the greatest flexibility?
The correct answer is A. American Style. See the full explanation below for the reasoning.
Question
- (Topic 2)
A treasury manager expects the price of a commodity to be highly volatile between the time of option purchase and exercise. Which option style would provide the greatest flexibility?
Options
- AAmerican Style
- BBermuda Style
- CCayman Style
- DEuropean Style
How the community answered
(40 responses)- A75% (30)
- B15% (6)
- C3% (1)
- D8% (3)
Community Discussion
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