Use the following chart for options on Merck and answer the questions below:

You have decided to buy 10 January 2009 call options on Merck with an exercise price of $45 per share. How much will this transaction cost you?

Options:

a) 4500

b) 2050

c) 2950

d) 3450

MRK 41.95 +0.53 Oct 06, 2006 @ 14:40 ET (Data 20 Minutes Delayed) Bid NA ASK NA Size NAXNIA Vol 6650300 Calls Last Open Net Bid Ask Voll Last Sale Int Puts Sale Net Bid Askvoll Open Int 09 Jan 25.00 (VMK AE-E) 17.101 -0.30 17.30 17.50 21 09 Jan 30.00 (VMK AF-E) 13.40 PC 13.20 13.40l ol 09 Jan 35,00 (VMK AG-E) 9.20 PC 9.60 10.00 o 09 Jan 40.00 (VMK AH-E) 6.50 +0.30 6.50 6.801 2 09 Jan 45.00 (VMK AI-E) 4.20 pel 4.20 4.50 o 09 Jan 50.00 (VMK AJ-E) 2.80 pc 2.35 2.75 l 214 09 Jan 25.00 (VMK ME-E) 417 09 Jan 30.00 (VMK MF-E) 591 09 Jan 35,00 (VMK MG-E) 8422 09 Jan 40.00 (VMK MH-E) 6123 09 Jan 45.00 (VMK MI-E) 4509 09 Jan 50.00 (VMK MJ-E) 0.801 pc 0.60 0.80319 1.40 -0.20 1.15 1.40 25 63 2.35 pc|2.15 2.35 0 1173 3.80 PC 3.70 3.90 ol 7174 6.40 pc 5.906.2010 5513 9.30 pc 9.00 9.60 01 982