John gets into a European call option to purchase one contract of stock X for $100/share that costs $5 and is held until maturity. What is the breakeven point and what does it represent? Under what circumstances will John make a profit? Under what circumstances will John realize a loss? Under what circumstances will the option be exercised? Under what circumstances will the option not be exercised? Draw a diagram illustrating how the profit from a long position in the option depends on the stock price at maturity of the option