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You are given the following information concerning options on a particular stock: Stock price = $63 Exercise price = $60 Risk-free rate = 6% per

You are given the following information concerning options on a particular stock: Stock price = $63 Exercise price = $60 Risk-free rate = 6% per year, compounded continuously Maturity = 3 months Standard deviation = 44% per year What is the intrinsic value of each option? What is the time value of each option?

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