MetaAn investor buys a put option contract for $ $5$ of IBM Inc. stock, with a contract size of $100$ shares.

The stock price is currently $$35,$ and the exercise price is $$40.$

$($i$)$ What are the investor$$s expectations, and under what conditions does the investor make a profit? $[3$ marks$]$

$($i$).$ Is this put option in$-$the$-$money? $[3$ marks$]$

$($iii$)$ Under what circumstances will the option be exercised? $[2$ marks$]$

$($iv$)$ If at the expiration of the option, the stock price is $ $50$ calculate the profit$/$loss of the investment and explain what the transactions are? Shall the investor exercise this option? $[4$ marks$]$