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    Money Banking and Financial Markets Study Set 2
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    Exam 9: Derivatives: Futures, Options, and Swaps
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    The Time Value of the Option Should
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The Time Value of the Option Should

Question 84

Question 84

Multiple Choice

The time value of the option should:


A) Decrease the longer the time to expiration.
B) Increase the longer the time to expiration.
C) Not change with time to expiration.
D) Approach infinity at expiration.

Correct Answer:

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