QUESTION 13 1 points Save Answer The value of a stock option depends on all of the following EXCEPT Bond price. b. Variability of the slock pnce. Oe Risk-free rate of interest Od Exercise price. Oe.Length of time until option expiration QUESTION 14 1 points Save Answer Warnes Motors' stock is trading at S20 a share. Three-month call options with an exercise price of S20 have a price of S1.50. Which of the following will occur if the stock price increases 10% to $22 a share? Oa The price of the call option will increase by less than $2, and the percentage increase in price will be less than 10%. Ob The price of the call option will increase by less than S2, but the percentage increase in price will be more than 10%. O The price of the call option will increase by $2 Od The price of the call option will increase by more than $2 The price of the call option will increase by more than $2, but the percentage increase in price will be less than 10%. QUESTION 15 1 points Save Answer Deeble Construction Co.'s stock is trading at S30 a share. There are also call options on the company's stock, some with an exercise price of $25 and some with an exercise price of S35. All options expire in 3 months Which of the following best describes the value of these options? Oa The options with the S25 exercise price will sell for less than the options with the $35 exercise price. Ob The options with the S35 exercise price have an exercise value greater than O The options with the S25 exercise price have an exercise value greater than $5 Od If Deeble's stock price rose by $5, the exercise value of the options with the $25 exercise price would also increase by $5 Oe The options with the S25 exercise price will sell for $5. QUESTION 16 1 paints Save Answer A 6-month call option on Romer Technologies' stock has a strike price of S45 and sells in the market for $8.25. Romer's current stock price is $48. What is the exercise value of the option? Oa $3.00 Ob S7.32 Oc $5.8 Od S3.75