- CFA Exams
- CFA Level I Exam
- Topic 7. Derivatives
- Learning Module 49. Forward Commitment and Contingent Claim Features and Instruments
- Subject 2. Contingent Claims: Options
CFA Practice Question
The specified price at which the underlying asset can be bought or sold with an option contract is ______.
B. the strike price
C. the optimum price
D. the selling price
A. the premium price
B. the strike price
C. the optimum price
D. the selling price
Correct Answer: B
The price of interest here is the price at which the deal will be struck.
User Contributed Comments 2
| User | Comment |
|---|---|
| Tomm | Also known as the exercise price. |
| MattNYC | Striking price is known as X as well, as denoted by the CFA in its formulas. |