Post by: waynest on Apr 25, 2021
Question 1
Other things being equal, the ________ the price volatility of the underlying asset, the ________ a call option will be.◦ lower, the greater the profit on
◦ lower, the lower the profit on
◦ greater, more valuable
◦ greater, less valuable
Question 2
Refer to the table of ENCOM stock option prices provided above. Which of the following options are "in-the-money"?
| I. | The $440 Call. |
| II. | The $490 Call. |
| III. | The $410 Put. |
| IV. | The $490 Put. |
◦ I and III
◦ II and IV
◦ II and III
◦ I and IV
Post by: jasonq on Apr 25, 2021
Answer 1
greater, more valuableAnswer 2
I and IV