3. Bond and Options Concepts (20 Points.). Answer the following questions. (a) 5 Points. Nathan buys two shares of Apple Corporation stock. He also buys a put option for each stock with an expiration date of 1 year. The put option has a strike price of $70. Julia invests in a portfolio that consists of 2 Apple stock call options and 2 zero coupon bonds. List all the conditions necessary in order to guarantee that Julia's return from her portfolio will be exactly equal to that of Nathan's. (b) 5 Points. Suppose an investor buys a call option for ABC stock at a strike price of $40. What is the total profit/loss for this investor if the price of the stock is $20,830,840 or $50. Draw a graph with the profit/loss on the y axis and the stock price on the x axis. (c) 5 Points. What is the goal behind bond immunization? Briefly explain. (d) 5 Points. Why are bond prices inversely related to interest rates