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Andromeda Companies has the following options available: Option Type Exercise Price Option Premium Call 40 2.65 Put 45 3.12 If Andromedas stock price is $42

  1. Andromeda Companies has the following options available:

Option Type

Exercise Price

Option Premium

Call

40

2.65

Put

45

3.12

If Andromedas stock price is $42 at the expiration of the options,

  1. What is the profit to a buyer of the call option? (1 point)
  2. What is the profit to the seller of the put option? (1 point)
  3. What is the breakeven stock price at expiration for the call option? (1 point)
  4. What is the breakeven stock price at expiration for the put option? (1 point)

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