Question: When the time to maturity increases with all else remaining the same, which of the following is true? A. There is no effect on European

When the time to maturity increases with all else remaining the same, which of the following is true?

A.

There is no effect on European option values.

B.

The value of European options either stays the same or increases.

C.

European options always increase in value.

D.

European options are liable to increase or decrease in value.

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