Which of the Following Affect the Value of Puts and Calls

question 68

Multiple Choice

Which of the following affect the value of puts and calls written on shares of common stock?
I. price volatility of the underlying stock
II. current market price of the underlying stock
III. length of time until the option expiration date
IV. current market interest rate

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

---

Definitions:

Cultural Variations

Differences in practices, traditions, and beliefs among various cultural groups, reflecting the diversity of human societies.

Neglecting Aspects

Overlooking or failing to consider important elements or factors.

Cephalocaudal Trend

A growth pattern characterized by development starting at the head and moving downward toward the feet.

Attachment Style

Describes the pattern of relational behavior and expectations for care, closeness, and safety developed in early childhood and influenced by the relationship with primary caregivers, affecting future relationships.