Which Option Price(s)will Increase When the Dividend Yield Increases

question 3

Multiple Choice

Which option price(s) will increase when the dividend yield increases?

• A)both the call and put
• B)call only
• C)put only
• D)neither the call nor the put
• E)Answer cannot be determined from the information provided.

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Definitions:

Promote From Within

A hiring policy favoring the advancement of current employees to higher positions over bringing in external candidates.

Lead-The-Market Pay Strategy

A compensation approach where an organization aims to offer salaries higher than the average within its sector to attract and retain top talent.

Job Posting

The process of communicating information about a job vacancy on company bulletin boards, in employee publications, on corporate intranets, and anywhere else the organization communicates with employees.

External Hiring

The practice of filling job vacancies with candidates from outside the organization.