ICMA Exam FMFQ Topic 2 Question 47 Discussion

Actual exam question for ICMA's FMFQ exam

Question #: 47
Topic #: 2

You hold a call option on a stock with a strike of EUR 35. The current premium for this option is EUR 3.80 and the underlying stock is trading at EUR 32. How much of this option price represents time value?

ANone as the option is in-the-money

BEUR 3.80

CEUR 3.00

DEUR 0.80

Show Suggested Answer

Suggested Answer: B

by Kristeen at Dec 09, 2023, 05:10 PM

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