There is a table in this section showing the effects of changing in the value of an American put option due to increase in the given five factors. I am just trying to expand this to include the call option as well. Could anyone please suggest if my answer is correct? Factor - Put option/Call option Share price - decrease/increase Exercise price - increase/decrease Time to expiry - increase/increase Volatility of share price - increase/increase Risk-free rate of return - decrease/increase
You are correct; it is also a useful exercise for those reading this thread to explain why these are correct!
