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QUESTION

GCC Ltd. is planning to issue options to its key employees, and it is now discussing the terms to be set on those options.

GCC Ltd. is planning to issue options to its key employees, and it is now discussing the terms to be set on those options. Which of the following actions would decrease the value of the options, other things held constant?A.GCC‘s share price suddenly increases.B.The exercise price of the option is increased.C.The life of the option is increased, i.e., the time until it expires is lengthened.D.The Reserve Bank takes actions that increase the risk-free rate.E.GCC‘s share price becomes more risky (higher

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