A call option on 31,250 with an exercise price of $1.50/ . The option premium is $0.25/. What is the break-even spot rate for the buyer? What is the maximum gain/loss for the buyer? Example One Profit 0 -$7,812.50 Long 1 call on 31,250 $1.75 loss $1.50 ST 20 20 Example Two Consider long a put option on 31,250 with an exercise price of $1.50 /. put optior The option premium is $0.15/. What is the maximum gain/loss for the buyer of this put option? What is the break-even rate to the buyer of the put option? $42,187.50 $42,187.50 = 31,250($1.50 - $0.15)/ 0 -$4,687.50 $4,687.50 31,250($0.15)/ I ST $1.35 21 $1.50