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Basic Question 14 of 14
Which factors DISCOURAGE early exercise of American puts?
II. Storage costs if the underlying is a commodity
III. Coupon interests if the underlying is a bond
I. Dividends if the underlying is a stock
II. Storage costs if the underlying is a commodity
III. Coupon interests if the underlying is a bond
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Learning Outcome Statements
identify the factors that determine the value of an option and describe how each factor affects the value of an option
CFA® 2024 Level I Curriculum, Volume 5, Module 8.