Homework Clinic
Social Science Clinic => Business => Finance => Topic started by: nenivikky on Apr 25, 2021
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Shares in Globex Corp. are trading today for $26. Call options on Globex shares, which expire in 6 months with a strike price of $25, are trading for $3.60. What are the intrinsic value and time value for the call option? Assume that there is one share per contract.
◦ -$1.00, $4.60
◦ $0, $3.60
◦ $1.00, $2.60
◦ $1.00, $3.60
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$1.00, $2.60