A market-maker writes a call option on a nondividend paying stock and purchases half of the amount of stock needed to delta-hedge the option. You are given:

• The stock price is 38.

• The continuously compounded risk-free interest rate is 10%.

• The option premium is 3.

• Delta for the option is 0.40.

• Gamma for the option is 0.12.

• Theta for the option is -0.02 per day.

  Using the delta-gamma-theta approximation (DGT), estimate the profit to the market-maker one day later if the stock price declines to 29.