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you can choose more than one correct option. please look at the 6 options carefully. thank you! Stock Price Exercise Price Intrinsic Value Time Value
you can choose more than one correct option. please look at the 6 options carefully. thank you!
Stock Price Exercise Price Intrinsic Value Time Value Option Premium Maturity Type of Option $100 $110 $10 ? $12.25 3 months ? B $100 $125 ? ? $2.89 3 months Call $100 $99 $0 ? $8.59 6 months ? D $100 $75 $25 2 $31.54 6 months ? Based on the table, choose the correct statements. The only call option is B. Option-B's intrinsic value is $0. Option-B's intrinsic value is $25. Options A and Care put. Option-D should have the highest time value since it has a longer maturity and is deeper in-the-money Option-C should have the highest time value since it has a longer maturity and is closer to at-the-money Step by Step Solution
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