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jugganuts jugganuts
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For a call purchased on an organized security exchange, the strike price specifies the

▸ contractual price at which each of the shares of the underlying stock can be bought.

▸ prevailing market price of one share of the underlying stock.

▸ cost of buying one option contact based on the value of the underlying stock.

▸ intrinsic value of the offsetting put.
Textbook 
Fundamentals of Investing

Fundamentals of Investing


Edition: 14th
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toastercattoastercat
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contractual price at which each of the shares of the underlying stock can be bought.
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