Other Things Equal, the Price of a Stock Put Option

question 57

Multiple Choice

Other things equal, the price of a stock put option is positively correlated with the following factors except

• A) the stock price.
• B) the time to expiration.
• C) the stock volatility.
• D) the exercise price.

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Definitions:

Cards

Pieces of thick paper or thin plastic, often rectangular, used for playing games, storing information, or as tools for certain activities.

Same Color

refers to objects or items that share an identical hue or shade.

Probability

A measure of the likelihood that a specific event will occur, expressed as a number between 0 and 1.

Face Cards

Cards in a deck that depict a face, specifically the Jack, Queen, and King of each suit.