Donna Donie, CPA, has a client who believes the common stock price ofTRT Materials (currently $58 per share) could move substantially in either direction in reaction to an expected court decision involving the company. The client currently owns no TRT shares, but asks Donie for advice about implementing a strategy to capitalise on the possible stock price movement. Donie gathers the TRT option pricing data shown in Exhibit 1. Exhibit 1 TRT Materials Option Pricing Data Characteristic Call Option Put Option Price $5 $4 Strike Price $60 $55 Time to Expiration 90 days from now 90 days from nor-.1r A: Recommend whether Donie should choose a long strangle strategy or a short strangle strategy to achieve the client's objective. Justify your recommendations with one reason. B: Indicate, at expiration for the appropriate strangle strategy in Part A, the: i. Maximum possible loss per share ii. Maximum possible gain per share iii. Breakeven stock price(s) C: Calculate the approximate change in price for the call option in Exhibit 1 if TRT's stock price immediately increases to $59 and the current delta is 0.6250. D: Dene gamma and state whether gamma for the put option in Exhibit 1 would decrease, stay the same, or increase if TRT's stock price immediately decreases to $51