Question: When comparing longer time to maturity options to shorter time to maturity options that have the same exercise price. A. in terms of call options,
When comparing longer time to maturity options to shorter time to maturity options that have the same exercise price. A. in terms of call options, the price of the longer maturity call option will be greater B. in terms of put options, the price of the longer maturity put option will be less c. which option (short term or long term) is more expensive depends on expected volatility D. Which option (short term or long term is more expensive depends on the interest rate. E. choices cand d
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