Examveda
Examveda

If exercise price of an option is $360 and intrinsic value of an option is $160 then price of an underlying asset is

A. $200

B. $520

C. $160

D. $360

Answer: Option A

Solution(By Examveda Team)

Price of an underlying asset = Exercise price of an option - Intrinsic value of an option
= $360 - $160 = $200.

This Question Belongs to Management >> International Finance And Treasury

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