The value of a listed put option on a stock is lower when _______________.
I.the exercise price is higher
II.the contract approaches maturity
III.the stock decreases in value
IV.a stock split occurs
A) II only
B) II and IV only
C) I, II and III only
D) I, II, III and IV

Question

Quizplus · Accepted Answer

The Answer of The value of a listed put option on a stock is lower when _______________.
I.the exercise price is higher
II.the contract approaches maturity
III.the stock decreases in value
IV.a stock split occurs
A) II only
B) II and IV only
C) I, II and III only
D) I, II, III and IV

The Value of a Listed Put Option on a Stock