Question: Problem 24-2 Understanding Option Quotes [LO1] Use the option quote information shown here to answer the questions that follow. The stock is currently selling for

Problem 24-2 Understanding Option Quotes [LO1]

Use the option quote information shown here to answer the questions that follow. The stock is currently selling for $68.
Calls Puts
Strike
Option Expiration Price Vol. Last Vol. Last
RWJ Mar 63 238 4.00 168 4.10
Apr 63 178 9.85 135 8.85
Jul 63 147 10.70 51 12.05
Oct 63 68 11.60 19 11.25
a-1. Are the call options in or out of the money?

  • In the money

  • Out of the money
a-2. What is the intrinsic value of an RWJ Corp. call option?

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