The following information relates to option quotes for Unilever for the month of July:

Compute the intrinsic and time value for each option. You are required to present two tables one showing the INTRINSIC VALUE and one showing the TIME VALUE of each:

PRICES			CALL OPTIONS				PUT OPTIONS
Share Prices	Strike Price	October		November	December	October		November	December
GH¢	GH¢	GH¢		GH¢	GH¢	GH¢		GH¢	GH¢
114	110	4½		7½	8¼	3/8		2¼	3
114	115	7/8		378	5	1¾		4½	5¼
114	120	1/8		2	2½	618		734	8¼
114	118	3/8		214	3	412		712	8¼
114	110	3½		4	514	612		534	8
114	112	618		734	814	78		378	5

Answer rating: 100% (QA)

Option Premium Intrinsic Value Time Value Call options October November December Sha... View the full answer