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In each scenario, for which call options will you be willing to pay a higher price? 1. All else being equal, for a) stock trading
In each scenario, for which call options will you be willing to pay a higher price?
1. All else being equal, for a) stock trading at 50$ b) stock trading at 60$.
2. All else being equal for a) option expiring in a month b$ option expiring in two months.
3. All else being equal for a) option with exercise price of 100$ b) option with exercise price of 120$.
4. All else being equal, for a) stock with standard deviation of 10% b) for stock with standard deviation ot 20%.
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