Determinants of stock option premiums

Consider an American$-$style call option on Blaze Industries stock that has a premium of $$0\mathrm{.}04$ per share and an exercise price of $$46$ that expires in a month. Suppose the value of the stock is currently $$31$ per share but suddenly increases to $$38$ per share. If options continue to be sold with an exercise price of $$46$ and an expiration date in one month, what would you expect to happen to the equilibrium price $($premium$)$ and quantity associated with the American$-$style call option?

The price of the American$-$style call option would increase.

The price of the American$-$style call option would decrease.

Consider an American$-$style put option on Ballister Incorporated stock. If Ballister Incorporated is a very large company with two million employees and over $$500$ billion in revenue, but it announces that it plans to increase the number of employees by $10\%,$ and subsequently increase its revenues, what would you expect to happen to the price of the American$-$style put option as a result of the company growing in size?

The price of the American$-$style put option would decrease.

The price of the American$-$style put option would increase.