Stock market investor has $2,000 to spend and is considering purchasing an option contract on 1,000 shares of Apricot Computer. The shares themselves are currently selling for $148.00 per share. Apricot is involved in a lawsuit, the outcome of which will be known within six months. If the outcome is in Apricots favor, analysts expect Apricots stock price to increase by $5 per share. If the outcome is unfavorable, the price is expected to drop by $1 per share. The option costs $2,000, and owning the option would allow the investor to purchase 1,000 shares of Apricot stock for $150 per share. Thus, if the investor buys the option and Apricot prevails in the lawsuit, the investor would make an immediate profit. Aside from purchasing the option, the investor could (1) do nothing and earn about 10% on his money, or (2) purchase $2,000 worth of Apricot shares. Construct cumulative risk profiles for the three alternatives, assuming Apricot has a 50% chance of winning the lawsuit. Can you draw any conclusions?