Question: Question 3 1 2 pts There are five statements below about American options. Choose the statement that is incorrect. Group of answer choices It is

Question 312 pts
There are five statements below about American options. Choose the statement that is incorrect.
Group of answer choices
It is optimal to exercise on the first date that the time value equals zero.
American options can be exercised at any time.
The Black-Scholes model is valid for call options if the stock pays dividends.
An American option is worth at least as much as an otherwise similar European option.
The Black-Scholes model is not valid for American put options.

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