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Time Decay of an Option Refers to the Fall in the Time

question 23

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Time decay of an option refers to the fall in the time value as it gets closer to expiry.


Definitions:

Tachycardia

A condition characterized by an abnormally fast heart rate, typically more than 100 beats per minute in adults.

Jugular Vein Distention

The abnormal swelling or bulging of the jugular veins in the neck, an indicator of potential heart or circulation issues.

Beta-Adrenergic Agent

A class of drugs that mimic the effects of adrenaline and are used in treating a variety of conditions such as asthma and heart diseases.

Congestive Heart Failure

A chronic condition where the heart's ability to pump blood is decreased, leading to symptoms such as shortness of breath, swelling, and fatigue.

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