Multiple Choice
Which of the following is true of the market price of an options contract over time?
A) It is set at time 0.
B) It is fixed over the life of the contract.
C) It changes based on the market value of the underlying asset.
D) It increases with time to expiration.
E) It is based on supply and demand.
Correct Answer:
Verified
Correct Answer:
Verified
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