Intrinsic Value
| Intrinsic Value | The amount by which an option is in-the-money. rnrnOut-of-the-money options have no intrinsic value. | |
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Additional comments: To calculate the intrinsic value of a call option, take the price of the underlying and subtract the strike price. A put option's intrinsic value equals the strike price minus the price of the underlying. Call Intrinsic value = underlying - strike price. Put Intrinsic value = strike price - underlying. |
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