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      Question

      An Option that can be exercised on any date before and

      including the expiry date is called 
      A American Option Correct Answer Incorrect Answer
      B European Option Correct Answer Incorrect Answer
      C Asian Option Correct Answer Incorrect Answer
      D Arabian Option Correct Answer Incorrect Answer
      E Indian Option Correct Answer Incorrect Answer

      Solution

      A European option may be exercised only at the expiration date of the option, i.e. at a single pre-defined point in time. An American option on the other hand may be exercised at any time before the expiration date.

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