An investor took a BUY position on KFC 85 put option for a premium of $ 3.5. Ignoring transaction costs, what is the breakeven price of this position?

1. If a call option on share has a strike price of $18 and the market price of the stock is $19. ( 1+2 marks) State whether the call option is in/at/out of the money. b. What is the pay off on this option? If the premium is $ 2 5. A trader SOLD A CALL OPTION on British pounds for a premium of AUS$ 0.02 / . The strike price was AUS$ 18 / and the spot rate at the time the option was exercised was AUS$ 22 / . Assume that there are 15,000 units in a British option. a. What is the trader's total net profit on the call option