1. Lexington Electronics stock is selling for $62 a share. One $60 call contract is valued at $252 and one $60 put contract is valued at $74. What is the per share intrinsic value of the call?
$0
$2.45
$2.00
$0.41
$1.75
2. Chelmsford Bakery stock is selling for $43.40 a share. One $40 call is valued at $3.85 and one $40 put is valued at $.79. What is the value of five put option contracts? (Remember one option contract includes 100 options)
$39.50
$395.00
$1,255.00
$475.00
$0.00