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On Jan 18 2022, SPY (the ETF) closed at 456.02. The short-term interest rate is 0.25%. Assume no dividend payments before the February 18 expiration.

On Jan 18 2022, SPY (the ETF) closed at 456.02. The short-term interest rate is 0.25%. Assume no dividend payments before the February 18 expiration. The minimum value of the February 2022, K = 454, Call option, on Jan 18 2022 was

  1. 2.02
  2. larger than 2.02
  3. smaller than 2.02, but not zero
  4. zero

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