The Effect of Volatility on a Call/put's Price Is

question 26

Multiple Choice

The effect of volatility on a call/put's price is

• A)decreased price due to decreased possible losses
• B)nominal volatility will not noticeably effect a call/put's price
• C)increased price due to increased possible gains
• D)decreased price due to increased possible losses
• E)none of the above

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Definitions:

Dimensional Model

An approach to understanding mental disorders that quantifies a person's symptoms or other characteristics on a continuum rather than as present or absent.

Cognitive Ability

The capacity to perform mental processes of perception, memory, judgment, and reasoning, as contrasted with emotional and volitional processes.

Basic Testing Course

An introductory program or course that teaches the fundamental principles, methodologies, and applications of psychological and educational testing.

Graduate Program

Advanced academic and professional education that follows the completion of a bachelor's degree, often leading to a master's or doctoral degree.