The intrinsic value of an at-the-money call option is equal to
A) the call premium.
B) zero.
C) the stock price plus the exercise price.
D) the striking price.
E) None of the options are correct.

Question

Quizplus · Accepted Answer

The intrinsic value of an at-the-money call option is zero because the stock price is equal to the exercise price, meaning there is no inherent profit in exercising the option.

The Intrinsic Value of an At-The-Money Call Option Is Equal