If the Volatility of the Underlying Asset Decreases, Then the

question 61

Multiple Choice

If the volatility of the underlying asset decreases, then the

• A)value of the put option will increase, but the value of the call option will decrease.
• B)value of the put option will decrease, but the value of the call option will increase.
• C)value of both the put and call option will increase.
• D)value of both the put and call option will decrease.

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Definitions:

Hopelessness Theory of Depression

A psychological theory suggesting that a pessimistic outlook, where one feels incapable of affecting the outcome of events, is a major cause of depression.

Abramson, Metalsky, Alloy

Researchers known for their contributions to the development of the hopelessness theory of depression, which emphasizes the role of negative expectations about the future in the development of depressive symptoms.

Revised Act

A legislatively approved amendment or complete reconstitution of previously enacted legislation, aimed at updating, clarifying, or improving the original law.

Distribution

The process of making a product or service available for the consumer or business user who needs it.