  We develop a model of time delays between the continuum bands in the Narrow
Line Seyfert 1 galaxy Mrk 335 to explain the observed delays measured in this
source. We consider two geometries: an accretion disk with fully ionized warm
absorber of considerable optical depth, located close to the symmetry axis, and
an accretion disk with a hot corona. Both media lead to significant disk
irradiation but the disk/corona geometry gives lower values of the time delays.
Only the disk/corona models give results consistent with measurements of
Sergeev et al., and a low value of the disk inclination is favored. The
presence of an optically thick, fully ionized outflow is ruled out at the
2-sigma level.
