The following information pertains to the next 3 questions: Tesla Stock is priced at $732.23 per share. The continuously compounded risk-free rate is 0.10 percent per annum. You observe five actively-traded options on Tesla stock, with characteristics, premiums and sensitivities as follows: Option Number: Option Type: Years to Expiration (T): Exercise Price (X): Option Premium: Delta: Gamma: Theta: Vega: Rho: Implied Volatility: I Call 0.1014 700 76.50 0.6261 0.0025 -283.1731 88.3322 38.7311 64.93% II Call 0.1014 800 32.85 0.3655 0.0026 -270.9467 87.6830 23.8075 62.61% III Call 0.2548 750 84.50 0.5330 0.0017 -180.8238 146.9481 77.9206 62.60% IV Call 0.7753 750 165.70 0.6027 0.0009 -109.2001 248.6476 213.6657 67.93% V Put 0.7753 750 180.60 -0.3991 0.0009 -107.1036 248.9417 -366.5882 67.01% 6. Which of the following portfolios is hedged against small changes in the price of Tesla stock? A. Long 0.5330 shares of Tesla stock, Short 1 Option III. B. Long 1 share of Tesla stock, short 1 Option IV, long 1 option V. C. Long 0.3991 shares of Tesla stock, Long 1 option V. D. Portfolios A, B and C above are all hedged against small changes in the price of Tesla stock