What Happens to the Value of Call and Put Options

question 27

Multiple Choice

What happens to the value of call and put options if the volatility of the price of underlying asset decreases?

• A) Put options will be worth more, call options will be worth less.
• B) Put options will be worth less, call options will be worth more.
• C) Both call and put options will be worth more.
• D) Both call and put options will be worth less.

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