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16 March, 20:10

All of the following would affect the price of an option except: (A) price of the stock (B) position limits (C) volatility of stock (D) time remaining

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  1. 16 March, 20:55
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    Option B is the correct option

    Explanation:

    The position limit will only limit the number of option contracts being purchased to hedge the risks associated with the amount we want to hedge. The limit is set by the Commodity Futures Trading Commission to limit the purchase of the derivatives so that its excessive purchase doesnot harms the company severely.
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