QUESTION 4 Assume all options for this problem are European and expire in one year. An investor purchases a share of Ford Corp. for $36. Assume the investor also buys a put with a strike price of $34 for $2.07 and writes a call for $1.86 with a strike price of $40. The risk free rate is 5 percent. a (a) (4 pts) Draw the profit and loss diagram for this strategy as a function of the stock price at expiration. In that graph label BOTH the maximum loss and maximum gain possible. (b) (4 pts) If you see a call option with a strike price of $34 trading at $6.57, what is the possible profit from an arbitrage opportunity