Which of the Following Factors Affect the Price of a Stock

question 22

Multiple Choice

Which of the following factors affect the price of a stock option

• A)the risk-free rate.
• B)the riskiness of the stock.
• C)the time to expiration.
• D)the expected rate of return on the stock.
• E)A,B,and C.

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Definitions:

Discrimination

Unfair treatment of a person or group based on characteristics such as race, gender, age, or religion.

Median Weekly Earnings

The middle value of weekly earnings from a group of workers, where half earn more and the other half earn less.

Union Members

Individuals who belong to an organized group of workers whose aim is to negotiate with employers about wages, working conditions, and other employment-related matters.

Collective Bargaining

A process where employers and employees negotiate wages, working conditions, and other employment terms through their representatives.