CFA Practice Question

There are 206 practice questions for this study session.

CFA Practice Question

Which factor is DIRECTLY related to the value of a European put option?

A. Volatility of the underlying
B. Risk-free rate of interest
C. Cost of carry
Correct Answer: A

User Contributed Comments 2

User Comment
Ricey Shouldn't it be B? higher risk-free rate results in lower put option value.
breh @Ricey: A is just more directly related.
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