The Value of a Listed Put Option on a Share

question 43

Multiple Choice

The value of a listed put option on a share is lower when ________.
I. the exercise price is higher
II. the contract approaches maturity
III. the share decreases in value
IV. a share split occurs

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

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