a$)$ An investor has a long position in AAPL and expects AAPL will be very volatile in the following $2$ weeks. The investors would like to use a collar to hedge the risk. Given the following information, please estimate:

$1)$ The break$-$even of this collar.

Hint: BE$=-$ICF.

$2)$ The maximum gain of the collar in the following $2$ weeks.

Hint: Set the price equal to K$2.$

$3)$ The maximum loss of the collar in the following $2$ weeks.

Hint: Set the price equal to K$1.$

b$)$ What are the pros and cons of the collar strategy?