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Choose one regarding how the factors of the B-S OPM affect a call option's value? (10points) Option Value a) Increase b) Decrease a) Increase

 

Choose one regarding how the factors of the B-S OPM affect a call option's value? (10points) Option Value a) Increase b) Decrease a) Increase b) Decrease a) Increase b) Decrease a) Increase b) Decrease a) Increase b) Decrease As the factors increases Current Stock Price Exercise Price Time to expiration Risk Free Rate Stock Return variation

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