Question: Define a call options exercise value. Why is the actual market price of a call option usually above its exercise value?

Define a call option’s exercise value. Why is the actual market price of a call option usually above its exercise value?

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A call options exercise value also known as intrinsic value is the difference between the current market price of the underlying asset and the strike ... View full answer

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In 100 words or more: Define a call option's exercise value. Why is the actual market price of a call option usually above its exercise value?

Define a call option's exercise value. Why is the actual market price of a call option usually above its exercise value?

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