In option pricing, an increasing in option price due to

The correct answer is A. time of expiry increases.

The option price is the amount of money that an option buyer pays to the option seller in exchange for the right, but not the obligation, to buy or sell an underlying asset at a specified price on or before a specified date. The option price is determined by a number of factors, including the strike price, the time to expiration, the volatility of the underlying asset, and the interest rate.

As the time to expiration increases, the option price increases. This

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