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Theta is a time decay parameter measuring the decline in option premium as time to expiration shortens. Therefore, a. Theta is only negative if the

Theta is a time decay parameter measuring the decline in option premium as time to expiration shortens. Therefore,

a.

Theta is only negative if the option is in-the-money

b.

Theta is only positive if the option is in-the-money

c.

Theta is positive

d.

Theta is negative

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