In the Valuation of an Option Contract,the Following Statements Apply

Multiple Choice

In the valuation of an option contract,the following statements apply except

A) The value of an option increases with its maturity.
B) There is a negative relationship between the market interest rate and the value of a call option.
C) The value of a call option is negatively related to its exercise price.
D) The value of a call option is positively related to the volatility of the underlying asset.
E) The value of a call option is positively related to the price of the underlying stock.