Financial Options Multiple Choice Questions with Answers – PDF Download

MCQ 1: An exercise of option in future and the part of option call value depends specifically on:

1. PV of exercising cost
2. FV of exercising cost
3. PV of cost volatility
4. FV of cost volatility

MCQ 2: The long-term equity anticipation security is usually classified as:

1. short-term options
2. long-term options
3. short money options
4. yearly call

MCQ 3: The types of option markets do not include:

1. European option
2. American option
3. expiry option
4. covered options

MCQ 4: According to exercise value and option price, the market value of the option will be zero when:

1. stock price is maximum
2. option price is zero
3. stock price is zero
4. stock price is minimum

MCQ 5: An excess of actual price of option over an exercise value of option is classified as:

1. time value options
2. actual options
3. estimated options
4. optional pricing