Agri A management is considering using some idle cash to purchase options. They approached a trader and obtained the following information about a call and a put. - Both options have a strike price of $40 - Both options have a maturity date of 6-months - The cost (premium) of the call is $2, and the put is $1.5 - The current price of the underlying share is $42. - The volatility is 20% - The risk-free rate is 10%. d) Calculate the break-even and maximum profit of long positions in the call and put and identify when these strategies (long call; long put) are convenient. (3 marks) e) If Agri A expects an increase in the underlying asset's price, should it invest in a call or a put? What price should be paid for the option based on the Black-Scholes model? Show calculation steps