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Basic Question 10 of 11
The effect of dividends on a stock on early exercise of an American call is to ______.
B. have no effect on early exercise
C. make early exercise more likely
A. make early exercise less likely
B. have no effect on early exercise
C. make early exercise more likely
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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.