Ex Last Series Price Sale PUT OPTIONS APPLE Last Sale Price $144 Nov 21 135 5.03 Nov 21 140 7.06 Nov 21 145 9.52 Nov 21 150 12.40 Dec 21 135 8.25 Dec 21 140 10.47 Dec 21 145 13.00 Dec 21 150 15.82 On 17 November 2021, Apple (AAPL) share price is trading at $144. You have a friend who works at Apple and he told you - in the strictest of confidence - that there is a problem with the battery in the iPhone 13. It tends to overheat causing the phone to catch fire and/or explode. Once Apple make this announcement, AAPL share price is likely to fall sharply. You believe that in the near future, APPL share price will fall to around $130. Required: a) If you had to choose between the Dec-21 put options with strikes of $140 and $145 which would you choose? Briefly explain the rationale for your choice. b) Both the Nov-21 $150 and Dec-21 $150 put options are viable positions. Briefly discuss the advantages and disadvantages of each for the purpose of your speculation