Seeing is believing!

Before you order, simply sign up for a free user account and in seconds you'll be experiencing the best in CFA exam preparation.

Basic Question 10 of 11

The effect of dividends on a stock on early exercise of an American call is to ______.

A. make early exercise less likely
B. have no effect on early exercise
C. make early exercise more likely

User Contributed Comments 0

You need to log in first to add your comment.
Your review questions and global ranking system were so helpful.
Lina

Lina

Learning Outcome Statements

contrast the use of arbitrage and replication concepts in pricing forward commitments and contingent claims

CFA® 2025 Level I Curriculum, Volume 5, Module 8.