Sam is considering purchasing a call option on ABC stock. The call has a premium of $3, an exercise price of $50, and ABC is trading at $51 per share. Which of the following statements about the call option is correct?

a. The call has an intrinsic value of $1 and a time value of $2.

b. The call has an intrinsic value of $0 and a time value of $3.

c. The call has an intrinsic value of $3 and a time value of $2.

d. The call has an intrinsic value of $0 and a time value of $1.