Wait for the stock to go higher in value


On expiration of your European $55 call upon XYZ stock, XYZ stock is selling for $58.43. What should you do?

A. Hold upon to the option, and wait for the stock to go higher in value.

B. Hold upon to the option, and wait for the stock to go lower in value.

C. Exercise the option, to make a profit.

D. Rip up option, to cut your losses.

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Basic Statistics: Wait for the stock to go higher in value
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