1. If there are no dividends on a stock, which of the following statements is correct?
An American call will be immediately exercised
An American call and an American put will sell for the same price
None of the above
A European call will sell for more than an American call
An American call will sell for more than a European call
2. The standard normal random variable used in the calculation of cumulative normal probabilities within the Black-Scholes-Merton option pricing model is
the d1 and d2 statistic
none of the above
the z statistic
the lognormal distribution
the f distribution