Volatility Cannot Be Directly Observed for Calculation Purposes of the Option

question 6

Multiple Choice

Volatility cannot be directly observed for calculation purposes of the option pricing model. Therefore, it may be determined from

• A)historic volatility.
• B)forward-looking volatility.
• C)implied volatility.
• D)any of the above

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Definitions:

Bradycardia

A slower than normal heart rate, typically defined as a resting heart rate of under 60 beats per minute in adults.

Systole

The phase of the heartbeat during which the heart muscle contracts and pumps blood from the chambers into the arteries.

Premature Atrial Contractions

An arrhythmia characterized by early heartbeats originating from the atria.

Premature Junctional Contractions

A type of abnormal heartbeat originating from the atrioventricular junction before the expected time.