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NEW QUESTION: 1
A. Option C
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Answer: B
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NEW QUESTION: 2
A risk manager is considering how to best quantify option price dynamics using mathematical option pricing
models. Which of the following variables would most likely serve as an input in these models?
I. Implicit parameter estimate based on observed market prices
II. Estimates of sensitivity of option prices to parameter changes
III. Theoretical option determination based on assumptions
A. II
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Response:
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