Examveda

An option which can be exercised any desired time before an expiry date is classified as

A. Australian option

B. money option

C. European option

D. American option

Answer: Option D

Solution (By Examveda Team)

An option which can be exercised any desired time before an expiry date is classified as American option. An American option is a put option or call option that can be exercised at any time on or before its expiration date.

This Question Belongs to Commerce >> Financial Management

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