CFA Practice Question

There are 227 practice questions for this study session.

CFA Practice Question

N(-d2) represents the probability that ______ expire(s) in the money.

A. the call option
B. the put option
C. both the call and put option
Correct Answer: B

On the other hand, N(d2) = 1 - N(-d2) measures the probability that the call option expires in the money.

User Contributed Comments 0

You need to log in first to add your comment.