CFA Practice Question

There are 277 practice questions for this topic.

CFA Practice Question

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

A. The exercise price
B. Risk-free rate of interest
C. Payments of the underlying
Correct Answer: B

The call option holder continues to earn interest on the money that could be expended later in paying the exercise price upon exercise of the option.

User Contributed Comments 0

You need to log in first to add your comment.