The Value of a Call Increases When: I

Multiple Choice

The value of a call increases when: I. the time to expiration increases.
II) the stock price increases.
III) the risk-free rate of return increases.
IV) the volatility of the price of the underlying stock increases.

A) I and III only
B) II, III, and IV only
C) I, III, and IV only
D) I, II, and III only
E) I, II, III, and IV