All of the Following Factors Affect the Price of a Stock

question 90

Multiple Choice

All of the following factors affect the price of a stock option except

• 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)none of the above.

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Definitions:

Invulnerability

A state or condition of being incapable of being wounded, harmed, or damaged, either physically or emotionally.

Terminal Illness

A disease or condition that is deemed incurable or irreversible and is expected to result in the death of the patient within a short period of time.

Child-Teacher Ratio

The number of children assigned to one teacher, a critical factor influencing the quality of education and individual attention received.

Planned Curriculum

A structured set of educational objectives, materials, and methods that have been designed in advance to achieve specific learning outcomes.