How is the value of a financial option affected by; (a) The current price of the underlying

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How is the value of a financial option affected by;

(a) The current price of the underlying asset.

(b) The exercise (or strike) price.

(c) The risk-free rate.

(d) The time until expiration (or maturity).

(e) The variance of returns on the asset?

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Intermediate Financial Management

ISBN: 9780357516669

14th Edition

Authors: Eugene F Brigham, Phillip R Daves

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