13-80 Which of the Following Is True of the Market

question 8

Multiple Choice

13-80 Which of the following is true of the market price of an options contract over time?

• A)It is set at time 0.
• B)It is fixed over the life of the contract.
• C)It changes based on the market value of the underlying asset.
• D)It increases with time to expiration.
• E)It is based on supply and demand.

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