The Most Important Factor Affecting the Market Price of a Put

question 39

Multiple Choice

The most important factor affecting the market price of a put or call is the

• A) expiration date.
• B) market interest rate.
• C) price behaviour of the corresponding warrant.
• D) price behaviour of the underlying shares.

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Definitions:

Rate of Absorption

The speed at which a substance is taken into the body or into a material, typically referring to nutrients, drugs, or chemicals.

Subcutaneous

Pertaining to or situated under the skin, often used to describe injections or implants administered beneath the skin layer.

Intrathecal

Intrathecal refers to the administration of drugs or other substances directly into the space under the arachnoid membrane of the brain or spinal cord.

Intramuscular

Refers to the administration of medication directly into the muscle tissue.