Figure: prices of stock options on Microsoft on January 2, 2019. For example: $7.65 is the price for a call with a strike of $95.

Question 1a

Fill in the Blanks

For the call option with a strike of $95: the payoff is $- blank1 -, and the profit is $- blank2 -

Question 1b

Fill in the Blanks

For the put option with a strike of $95: the payoff is $- blank1 -, and the profit is $- blank2 -

Question 1c

Fill in the Blanks

For the call option with a strike of $105: the payoff is $- blank1 -, and the profit is $- blank2 -

Question 1d

Fill in the Blanks

For the put option with a strike of $105: the payoff is $- blank1 -, and the profit is $- blank2 -

Microsoft (MSFT) Underlying stock Price: 101.51 Expiration Strike Call Put January 18, 2019 95 7.65 0.98 January 18, 2019 100 3.81 2.20 January 18, 2019 105 1.45 4.79