Assuming All Else Equal,the Value of an In-The-Money Call Increases

question 69

Multiple Choice

Assuming all else equal,the value of an in-the-money call increases when the
I.time to expiration increases.
II.stock price increases.
III.risk-free rate of return increases.
IV.volatility of the price of the underlying stock increases.

• A)I and III only
• B)II,III,and IV only
• C)I,III,and IV only
• D)I,II,and III only
• E)I,II,III,and IV

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