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The ________ Is Fixed for the Life of the Option

Question 54

Multiple Choice

The ________ is fixed for the life of the option. All other factors equal, the lower the strike price, the ________ the price for a call option. For put options, the ________ the exercise price, the higher the option price.


A) strike price; lower; higher
B) exercise price; higher; lower
C) strike price; higher; higher
D) market price; lower; lower

Correct Answer:

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