Which of the following factors is not considered in the valuation of call and put options?
A) Current stock price
B) Exercise price
C) Market interest rate
D) Volatility of underlying stock price
E) None of the above (that is, all are factors which should be considered in the valuation of call and put options)

Question

Quizplus · Accepted Answer

All of the factors listed (current stock price, exercise price, market interest rate, and volatility of underlying stock price) should be considered in the valuation of call and put options.

Which of the Following Factors Is Not Considered in the Valuation