716 Call valuation prior to Maturity Date Figure 7.1(p. 176) Call option Price c=C>s-Xe>s-X Time Value Intrinsic value Stock price, s As r or o increases, the call price moves in the direction of the arrows Options, Futures, and Other Derivatives, 4th edition@ 2000 by John C. Hull Tang Yincai, Shanghai Normal UniversityOptions, Futures, and Other Derivatives, 4th edition © 2000 by John C. Hull Tang Yincai, Shanghai Normal University 7.16 Call Valuation Prior to Maturity Date • Figure 7.1 (p. 176) Call Option Price Time Value Intrinsic value X Stock price, S As r or  increases, the call price moves in the direction of the arrows • c C S X S X r T =  −  − − 0 0 e