Which of the Following Increase(s)the Time Premium of a Call

question 99

Multiple Choice

Which of the following increase(s) the time premium of a call option?
I.a market price that exceeds the strike price
II.increasing volatility in the market price of the underlying security
III.decreasing market interest rates
IV.decreasing the time to option expiration

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

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