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Call option with the strike of $55 is selling for $5.50. If the stock price is $52.50. Choose the correct statement: Intrinsic value of this
Call option with the strike of $55 is selling for $5.50. If the stock price is $52.50. Choose the correct statement:
Intrinsic value of this option is $2.50. The call option will be exercised since
the call is in-the- money
Intrinsic value of this option is $ 8.00.
The maximum gain to the writer of this option is $55 .
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Financial Management Principles And Applications
Authors: Arthur J. Keown
9th Edition
013033362X, 9780130333629
