Psychology, asked by deepshikhanath589, 1 month ago

give an example of instrinsic value.​

Answers

Answered by Anonymous
98

answer

Explanation:

Example : call option's strike price is $19 and the underlying stock's market price is $30, then the call option's intrinsic value is $11.

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Answered by Sreekala4mt
0

Answer:The Intrinsic Value is the difference between a stock's market price and the option's strike price. For example, if a call option's strike price is $19 and the underlying stock's market price is $30, then the call option's intrinsic value is $11.

Example of an Option's Intrinsic Value

Let's say a call option's strike price is $15, and the underlying stock's market price is $25 per share. The intrinsic value of the call option is $10 or the $25 stock price minus the $15 strike price.

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