Examveda
Examveda

If intrinsic value of an option is $450 and price of an option is $560 then time value of an option is

A. $110

B. $1,010

C. $450.00

D. $560

Answer: Option A

Solution(By Examveda Team)

Time value of an option = Price of an option - Intrinsic value of an option
= $560 - $450 = $110.

This Question Belongs to Management >> International Finance And Treasury

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