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The call option on a dividend-paying stock compared to a comparable non-dividend paying stock is: equal to the cost of the non-dividend paying stock option.

The call option on a dividend-paying stock compared to a comparable non-dividend paying stock is: equal to the cost of the non-dividend paying stock option. more valuable because of the dividend payments. less valuable because cash dividends lower the stock price. equal in value. either equal to or greater than the value of the non-dividend paying stock option.

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