Consider the following equation: C = S × N

Question

Consider the following equation: C = S × N  - PV(K)× N  In this equation,the term T represents:
A)the number of years to expiration. 
B)the annual volatility of the stock. 
C)the expected return on the stock. 
D)the number of days to expiration.

Quizplus · Accepted Answer

The term T typically represents the number of years to expiration in financial equations, such as in the Black-Scholes model.