The value of a call option is positively related to the risk-free rate.

A. True

B. False

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The value of an American put option is inversely related to the exercise price.

A. True

B. False

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Assuming there are no dividends paid on the stock, which of the following statements is correct?

A. A European call must always sell for more than an otherwise identical American call

B. An American put on the stock will never be exercised early

C. An American call will always sell for more than an otherwise identical European call

D. None of the above