Which of the following represent in-the-money options?

I. a call when the market price exceeds the strike price
II. a call when the strike price exceeds the market price
III. a put when the market price exceeds the strike price
IV. a put when the strike price exceeds the market price

A) I and III only
B) I and IV only
C) II and III only
D) II and IV only


Answer: B

Business

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