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QUESTION 42 The following statements regarding options are false, except for: a. The writer of a put option acquires the right to buy the underlying

QUESTION 42

  1. The following statements regarding options are false, except for:

a.

The writer of a put option acquires the right to buy the underlying asset at the specified period.

b.

American options can be exercised only at expiration; European options can be exercised at any time prior to expiration.

c.

A long position in an underlying asset is the same as taking a short position in a put option.

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