Last week,you purchased a call option on Denver at an option price of €1.05.The share price last week was €28.10.The strike price is €27.50.What is the intrinsic value per share if Denver is currently priced at €29.03?

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Quizplus · Accepted Answer

The intrinsic value of a call option is calculated as the current stock price minus the strike price. Here, it is €29.03 - €27.50 = €1.53.

Last Week,you Purchased a Call Option on Denver at an Option