Option Values. Look at the data in Table 23.2. (LO23-2)

a. What is the price of a call option with an exercise price of $3,100 and expiration in October 2020? What if expiration is in June 2021?

b. Why do you think the June 2021 calls cost more than the October 2020 calls?

C. Is the same true of put options? Why?

\begin{tabular}{|lccc|} \hline Expiration Date & Exercise Price & Call Price & Put Price \\ \hline October 2020 & $2,600 & $582 & $86 \\ & 3,100 & 297 & 281 \\ & 3,600 & 114 & 582 \\ January 2021 & 2,600 & 658 & 152 \\ & 3,100 & 395 & 387 \\ & 3,600 & 214 & 710 \\ June 2021 & 2,600 & 763 & 244 \\ & 3,100 & 521 & 468 \\ & 3,600 & 348 & 784 \\ \hline \end{tabular}