Which of the Following Features Increase(s) the Value of a Call

question 49

Multiple Choice

Which of the following features increase(s) the value of a call option?

• A) A high interest rate
• B) A long time to maturity
• C) A higher volatility of the underlying stock price
• D) All of the above

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Definitions:

Antibiotics

Drugs used to treat bacterial infections by killing or inhibiting the growth of bacteria.

Half-Life

The time required for a quantity to reduce to half its initial value.

Suppository

A solid medical preparation designed to be inserted into the rectum, vagina, or urethra, where it dissolves.

Rectal Route

A method of administering medication or other substances into the body through the rectum.