CFA Practice Question

There are 206 practice questions for this study session.

CFA Practice Question

Suppose an investor sells a put option. What will happen if the stock price on the exercise date exceeds the exercise price?

A. The seller will need to deliver stock to the owner of the option.
B. The seller will be obliged to buy stock from the owner of the option.
C. The owner will not exercise his option.
Correct Answer: C

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