What is the time value of your put option

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1. You bought a call option with a strike price of $45 on Fox stocks that are currently selling at $55 a share. The call option is trading at $4.50.

  1.  Are your call options in the money, at the money, or out of money?
  2. Calculate the Exercise price of call option.
  3. What is the time value of your call option?

2. You bought a put option with a strike price of $45 on Fox stocks that are currently selling at $55 a share. The put option is trading at $4

  1.  Are your put options in the money, at the money, or out of money?
  2. Calculate the Exercise price of the put option.
  3. What is the time value of your put option?

Reference no: EM131623851

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