Which of the Following Does NOT Affect the Value of an Option,other

question 11

Multiple Choice

Which of the following does NOT affect the value of an option,other things held constant?

• A)the strike price
• B)the variability of the stock price
• C)the option's time to maturity
• D)the stock beta

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Definitions:

Political Economy

An interdisciplinary branch that studies the relationship between individuals, societies, and governments, focusing on how economic theories affect policies and social issues.

Comparative Advantage

The capacity of a person, business, or nation to create a product or offer a service with a lesser opportunity cost compared to its rivals.

Adam Smith

A Scottish economist and philosopher, known as the "father of modern economics" for his influential works on the nature and causes of the wealth of nations, promoting the idea of free market economies.