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Assume that a call option has an exercise price of $1.50/ and its cost (call premium) is $0.07. At a spot price of $1.45, the

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Assume that a call option has an exercise price of $1.50/ and its cost (call premium) is $0.07. At a spot price of $1.45, the call option has a time (volatility) value of a) $0.07. b) $0.05. c) $0.00 d) $0.02

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