1. Which of the following choices is a primary component in theoretical options pricing calculations?
a. Volatility
b. Annual interest rate
c. Stock price
d. Days to expiration
e. Strike price
f. All of the above
2. Which one of the following characteristics is most associated with financing type projects?
A. Long payback period.
B. Multiple internal rates of return.
C. Cash inflows that equal cash outflows when ignoring the time value of money.
D. Prepaid services.
E. Conventional cash flows.