Problem 4 (15 points) Suppose that you plan to buy a call option of stock A expiring after 1 year selling for $12 with exercise price at $97. The possible stock price of stock A at expiration is listed in the following table. Stock price $90 $100 $110 $120 (a) Given different stock prices, compute the payoffs and profits of holding this call option. (b) Given different stock prices, compute the payoffs and profits of writing this call option. a (c) What is the break-even price for this call option? Draw a figure of call writer's payoffs and profits. Explain why we say call writer's loss can be infinity