3. Given a 6 month European style put with a strike price RM150. The cost (premium) for this option is RM 5.50. The effective rate of interest is 5% a year. a) Determine the break-even of the spot price at expiration if we short the contract. (6 marks) b) Hence, based on (a) construct the profit and payoff diagram with its table calculation. (10 marks) 3. Given a 6 month European style put with a strike price RM150. The cost (premium) for this option is RM 5.50. The effective rate of interest is 5% a year. a) Determine the break-even of the spot price at expiration if we short the contract. (6 marks) b) Hence, based on (a) construct the profit and payoff diagram with its table calculation. (10 marks)