Examveda
Examveda

If time value of an option is $200 and intrinsic value of an option is $250 then price of option is

A. $50

B. $550

C. $200

D. $250

Answer: Option B

Solution(By Examveda Team)

Price of option = Time value of an option + Intrinsic value of an option
= $200 + $250 = $550.

This Question Belongs to Management >> International Finance And Treasury

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