Problem 28-03 The price of a stock is $36, and a six-month call with a strike price of $34 sells for $7. Round your answers to the nearest dollar. a. What is the option's intrinsic value? b. What is the option's time premium? $ c. If the price of the stock rises, what happens to the price of the call? As the price of the stock rises, the value of the call -Select- d. If the price of the stock falls to $35, what is the ma -Select- ose from buying the call? Enter your answer as a positive value. $ e. What is the maximum profit you could earn by sell rises $ jed (naked)? f. If, at the expiration of the call, the price of the stoc declines Se profit (or loss) from buying the call? Enter your answer as a positive value. The select from buying the call is $ g. If, at the expiration of the call, the price of the stod does not change he profit (or loss) from selling the call naked? Enter your answer as a positive value. The Select- from selling the call naked is $ h. If, at the expiration of the call, the price of the stock is $42, what is the profit (or loss) from buying the call? Enter your answer as a positive value. The Select- v from buying the call is $ 1. If, at the expiration of the call, the price of the stock is $42, what is the profit (or loss) from selling the call naked? Enter your answer as a positive value. The -Select- v from selling the call naked is $ eBook Problem 28-03 The price of a stock is $36, and a six-month call with a strike price of $34 sells for $7. Round your answers to the nearest dollar. a. What is the option's intrinsic value? $ b. What is the option's time premium? $ c. If the price of the stock rises, what happens to the price of the call? As the price of the stock rises, the value of the call Select V d. If the price of the stock falls to $35, what is the maximum you could lose from buying the call? Enter your answer as a positive value. $ e. What is the maximum profit you could earn by selling the call uncovered (naked)? s f. If, at the expiration of the call, the price of the stock is $34, what is the profit (or loss) from buying the call? Enter your answer as a positive value. The select from buying the call is $ g. If, a Select tion of the call, the price of the stock is $34, what is the profit (or loss) from selling the call naked? Enter your answer as a positive value. The from selling the call naked is $ h. If, al profit The bion of the call, the price of the stock is $42, what is the profit (or loss) from buying the call? Enter your answer as a positive value. from buying the call is $ tion of the call, the price of the stock is $42, what is the profit (or loss) from selling the call naked? Enter your answer as a positive value. from selling the call naked is $ 1. If, al loss The