Aggregate option exercise price

In trading options, most traders who exercise their options contract usually does not take delivery of the underlying asset. These traders just take the money from the price of the options contract without owning the actual underlying asset. Aggregate option exercise price is the price that an options trader would have to pay for the actual delivery of the stock which usually comes in 100 shares per contract. If the exercise price of a 1 contract call option on MSFT is 24.00 before the contract expires, its aggregate option exercise price is $2,400. If the trader exercises 10 contracts its aggregate option exercise price is $24,000 because each contract contains 100 shares of the underlying stock.

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