Definitions for "Extrinsic Value"
The amount by which the premium exceeds its intrinsic value. Also known as time value.
The price of an option over and above the intrinsic value. This "value" is commonly called the option's " time value". ill or Kill Order This type of order instructs the floor broker to execute your order immediately at the specified price. If the floor cannot fill the order immediately, the order is canceled.
The price of an option less its intrinsic value. An out-of-the money option's worth consists of nothing but extrinsic or time value.
A form of judgement that allows a continuum of possibilities, i.e. a measurement of goodness or presence. This corresponds to fuzzy logic operations.