If the Volatility of an Option Increases

question 138

Multiple Choice

If the volatility of an option increases:

• A) the value of a call option will increase,but a put option will decrease.
• B) the value of a call option will decrease,but a put option will increase.
• C) the value of a call option will decrease,and a put option will decrease.
• D) the value of a call option will increase,and a put option will increase.

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