need help asap please

You own a call option on Intuit stock with a strike price of

$38.

The option will expire in exactly three months' time.

a. If the stock is trading at

$49

in three months, what will be the payoff of the call?

b. If the stock is trading at

$32

in three months, what will be the payoff of the call?

c. Draw a payoff diagram showing the value of the call at expiration as a function of the stock price at expiration.

a. If the stock is trading at

$49

in three months, what will be the payoff of the call?

If the stock is trading at

$49

in three months, the payoff of the call is

$nothing.

(Round to the nearest dollar.)

b. If the stock is trading at

$32

in three months, what will be the payoff of the call?

If the stock is trading at

$32

in three months, the payoff of the call is

$nothing.

(Round to the nearest dollar.)

c. Draw a payoff diagram showing the value of the call at expiration as a function of the stock price at expiration.

Which of the four graphs best represents the payoff diagram?(Select the best choice below.)

A.

51015202530354045505560-20-15-10-505101520Stock Price ($)Cash Flow ($)

The x-axis on the graph shows stock price; the axis values range from 0 to 60, at intervals of 5. The y-axis on the graph shows cash flow; the axis values range from minus 20 to 20, at intervals of 5. The cash flow is 0 till the stock price moves from 0 to 38. As the stock price crosses 38, the cash flow starts falling gradually. When the stock price is 38 +15, the cash flow is minus 15.

B.

51015202530354045505560-20-15-10-505101520Stock Price ($)Cash Flow ($)

The x-axis on the graph shows stock price; the axis values range from 0 to 60, at intervals of 5. The y-axis on the graph shows cash flow; the axis values range from minus 20 to 20, at intervals of 5. The cash flow is 0 till the stock price moves from 0 to 38. As the stock price crosses 38, the cash flow starts rising gradually. When the stock price is 38 +15, the cash flow is 15.

C.

51015202530354045505560657075-20-15-10-505101520Stock Price ($)Cash Flow ($)

The x-axis on the graph shows stock price; the axis values range from 0 to 75, at intervals of 5. The y-axis shows cash flow; the axis values range from minus 20 to 20, at intervals of 5. The cash flow is 0 till the stock price moves from 0 to 49. As the stock price crosses 49, the cash flow starts rising gradually. When the stock price is 49 +15, the cash flow is 15.

D.

51015202530354045505560-20-15-10-505101520Stock Price ($)Cash Flow ($)

A. Cash Flow ($) B. Cash Flow ($) 5 10 15 20 25 30 35 40 45 50 55 60 5 10 15 20 25 30 35 40 45 50 55 60 -10 -15 -15 -20% -20 Stock Price ($) Stock Price ($) 20 15 20 15 10 10 c. Cash Flow ($) D. Cash Flow ($) 5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 5 10 15 20 25 30 35 40 45 50 55 60 -10 -15 -On -15