Which of the Following Is Correct

question 132

Multiple Choice

Which of the following is correct?

• A) The longer the time to maturity, the less the value of a currency call option, other things equal.
• B) The longer the time to maturity, the less the value of a currency put option, other things equal.
• C) The higher the spot rate relative to the exercise price, the greater the value of a currency put option, other things equal.
• D) The lower the exercise price relative to the spot rate, the greater the value of a currency call option, other things equal.

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Definitions:

Threshold Level

The minimum level of stimulus intensity required to activate a neuron or to trigger a specific physiological response.

Repolarization Phase

Phase of the action potential in which the membrane potential moves from its maximum degree of depolarization toward the value of the resting membrane potential.

Voltage-gated Ion Channels

Proteins embedded in cell membranes that open or close in response to changes in membrane potential, crucial for the propagation of nerve impulses.

Plasma Membrane

A phospholipid bilayer that surrounds a cell, providing it with structural support and controlling the movement of substances into and out of the cell.