Question
1. What choice correctly completes the Table shown below: Summary of Effect on the Price of an American Call Option of Increasing One Variable Stock
1. What choice correctly completes the Table shown below:
Summary of Effect on the Price of an American Call Option of Increasing One Variable
Stock Price Strike Maturity Volatility Risk-free Rate Dividend
+ ? ? ? ? ?
a.-, +, +, -, -
b. -, +, +, -, +
c. -, +, +, +, -
d. -, +, ?, -, +
2.What choice correctly completes the Table shown below:
Summary of Effect on the Price of an American Put Option of Increasing One Variable
Stock Price Strike Maturity Volatility Risk-free Rate Dividend
- ? ? ? ? ?
a. +, +, +, -, -
b. +, +, +, +, +
c. +, +, +, -, +
d. +, ?, +, -, +
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Mathematics For Business
Authors: Stanley A Salzman, Charles D Miller, Gary Clendenen
8th Edition
0321357434, 9780321357434
