A call option written on CBA has a strike price of $78 and trades at $3.42. CBA share price is $81. The split up of option value into intrinsic value and time value is:

		$3.00 intrinsic value and $0.42 time value
		-$2.00 intrinsic value and $5.42 time value
		$2.00 intrinsic value and $1.42 time value
		zero intrinsic value and $3.42 time value