Question
Consider the BHO Oct 40 call option. Assume that it is an American option, the price of the stock is currently $39.30, and the premium
Consider the BHO Oct 40 call option. Assume that it is an American option, the price of the stock is currently $39.30, and the premium is $2.88.
What is the intrinsic value of the call option? What is the time value?
Please show work
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Fundamentals Of Corporate Finance
Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates
5th Edition
1119795435, 978-1119795438
