The Value of a Listed Call Option on a Stock

Multiple Choice

The value of a listed call option on a stock is lower when:
I. The exercise price is higher.
II. The contract approaches maturity.
III. The stock decreases in value.
IV. A stock split occurs.

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