Suppose that a financial institution has sold for $300,000 a European call option on 100,000 shares of a non-dividend stock. Assume that the stock price is $49, the strike price is $50, the risk-free interest rate is 5% per annum, the stock price volatility is 20% per annum, the time to maturity is 20 weeks (0.3826 years), and the expected return from the stock is 13% per annum.

(c) The financial institution decides to buy 100,000 shares of the underlying stock as soon as the option has been sold. Then calculate the profit (or cost) of the financial institution at maturity in case when after 20 weeks (i) the stock price is $40 or (ii) the stock price is $60.