1. Which of the following statements are TRUE with respect to the relationship between option value and volatility/dividends/interest rates/time to maturity?

   I. when volatility decreases with all else remaining the same, both calls and puts increase in value.

   II. when dividends increases with all else remaining the same, puts increase in value while calls decrease in value.

   III. when interest rates decrease with all else remaining the same, calls decrease in value while puts increase in value.

   IV. when the time to maturity increases with all else remaining the same, both put and call European options always increase in value.

   		I, II
   		II, III
   		I, III, IV
   		I, II, III