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What is the exercise value (intrinsic value) at the time of purchase (t = 0) to the holder of a call with strike price $80
What is the exercise value (intrinsic value) at the time of purchase (t = 0) to the holder of a call with strike price $80 if the underlying asset is $100 and the call premium is $30?
A.$0
B.$5
C.$10
D.$15
E.$20
What is the time value (speculative premium) at the time of purchase (t = 0) to the holder of a call with strike price $180 if the underlying asset is $165 and the call premium is $5?
$0 | ||
$5 | ||
$10 | ||
$15 | ||
$20 |
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