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Brandon bought a June $100 Call on ITech six months ago at a price of $8.85 per share. This call option will expire in six
Brandon bought a June $100 Call on ITech six months ago at a price of $8.85 per share. This call option will expire in six months and will be exercised for sure on the expiration date. ITech stock is currently selling at $105 per share. Annual riskfree rate is 4%. What are ITech June $100 Calls intrinsic value and time value currently?
A. $5 and $3.85
B. $3.85 and $5
C. $5 and $1.93
D. $5 and $1.96
E. None of the above
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