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Which of the following statements is most correct, holding other things constant, for XYZ Corporation's traded call options? The price of these call options is
Which of the following statements is most correct, holding other things constant, for XYZ Corporation's traded call options? The price of these call options is likely to rise if XYZ's stock price rises. If XYZ pays a dividend, then its option holders will not receive a cash payment, but the strike price of the option will be reduced by the amount of the dividend. Assuming the same strike price, an XYZ call option that expires in one month will sell at a higher price than one that expires in three months. If XYZ's stock price stabilizes (becomes less volatile), then the price of its options will increase. The higher the strike price on XYZ's options, the higher the option's price will be
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