An investor writes a call option, for which the premium = $3. Assuming the strike price is $30, provide a P/L, net P/L chart, and a graph outlining price vs. profit.

Q3: A company buys 200 oat futures contracts (5,000 bushels/contract) at $6.00/bushel. At the expiration of the contract, oat futures are worth $6.25/bushel. Calculate the P/L for the long and short positions, and show why the agreement is a zero-sum arrangement.

Q4: A large jewelry organization is long 20 silver futures contracts (5,000 troy ounces/contract), for which they paid a per ounce price of $24.90. At the expiration of the contract, silver futures are worth $25.20 per ounce. Calculate the P/L for the long and short positions, and show why the agreement is a zero-sum arrangement.

Q5: Fill out the chart below (i.e., indicate ATM, ITM or OTM):

Option types	Strike price ($)	Stock price ($)	ATM, ITM or OTM
Call	57	52
Put	72	87
Call	65	65
Put	42	42
Call	43	55
Put	81	74