Question
All of the following factors affect the value of an option, except: Question options: the exercise price. the industry mean for similar options. the time
All of the following factors affect the value of an option, except:
Question options:
| the exercise price. |
| the industry mean for similar options. |
| the time until the option expires. |
| the risk-free rate of interest. |
Which one of the following statements in most accurate when describing the reasons the market value of a company could be substantially higher than its book value?
Question options:
| The company has a substantial amount of deferred revenue. |
| The company acquired a smaller company and opted not to recognize goodwill after the acquisition. |
| The projected growth for revenue is higher than in prior years. |
| The firm uses equipment that has been fully depreciated. |
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