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What is the time value of the option

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Reference no: EM132521260

Question - Smith Enterprises shares currently sell for $18. A call option on the shares has a strike price of $15 and currently sells at $4.50. What is the time value of the option?

a. $2.50

b. $1

c. $2.00

d. $4.50

Reference no: EM132521260

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