3) You like the near term prospect of ABC Company and decide to buy the stock call options. The current stock price is $53. You will buy 10 contracts with $54 strike price and it expires in nine months. The call premium for each share is $1. 6 months later, the stock price increases to $56, Questions a) What's the breakeven stock price for the call option? b) What's the option intrinsic value? c) What's the option's payoff? D) Draw an option pay-off diagram