4) Calculate maximum possible loss (including the price of the options) from a short positon in Feb 2015 put option and a long position in Feb 2015 call option. Strike price of the put is 1.45 $/, strike price of the call is 1.35 $/. Assume that puts premium was $0.1 per 1 while calls premium was $0.2 per 1 and the size of each contract is 65,500.

* Answer is B, please explain in as much detail and step by step as possible.

a) unlimited

b) $101,525

c) $94,975

d) $88,425

e) $13,100

f) $6,550 g) $0