The price of a stock is $58, and a six-month call with a strike price of $55 sells for $9. Round your answers to the nearest dollar.

1. What is the option's intrinsic value?

   $

2. What is the option's time premium?

   $

3. If the price of the stock falls, what happens to the price of the call?

   As the price of the stock falls, the value of the call -Select-risesdeclinesdoes not changeItem 3 .

4. If the price of the stock falls to $46, what is the maximum you could lose from buying the call? Enter your answer as a positive value.

   $

5. What is the maximum profit you could earn by selling the call covered?

   $

6. If, at the expiration of the call, the price of the stock is $65, what is the profit (or loss) from buying the call? Enter your answer as a positive value.

   The -Select-profitlossItem 6 from buying the call is $ .

7. If, at the expiration of the call, the price of the stock is $65, what is the profit (or loss) from selling the call covered? Enter your answer as a positive value.

   The -Select-profitlossItem 8 from selling the call covered is $ .

8. If, at the expiration of the call, the price of the stock is $48, what is the profit (or loss) from buying the call? Enter your answer as a positive value.

   The -Select-profitlossItem 10 from buying the call is $ .

9. If, at the expiration of the call, the price of the stock is $48, what is the profit (or loss) from selling the call covered? Enter your answer as a positive value.

   The -Select-profitlossItem 12 from selling the call covered is $ .