Use the following information for questions $9-12$:

Coca$-$Cola currently has a stock price of $$46\mathrm{.}75.$ It also has eight options available with

the following Expiration Date, Strike Price $($Exercise Price$),$ and Option Price. For

Example, you can buy a Feb $50$ Call for $$\mathrm{.}2($or you could sell it for $$\mathrm{.}2).$ The risk free

rate between now and Feb is $1\%$ while the risk free rate between now and May is $2\%.$

What is the Time Value of the May $50$ Put option?

a$)$ $$0\mathrm{.}25$

b$)$ $$1\mathrm{.}75$

c$)$ $$2\mathrm{.}90$

d$)$ $$3\mathrm{.}25$

Using Put$-$Call Parity, what is the value of the Feb $45$ Call option?

a$)$ $$1\mathrm{.}15$

b$)$ $$1\mathrm{.}85$

c$)$ $$2\mathrm{.}05$

d$)$ $$2\mathrm{.}55$

Suppose you sell a May $$45$ Put and buy a May $$50$ put and the stock price ends up

being $$47.$ What is your total gain or loss $($including the purchase and sell of the original

option?

a$)$ Lost $$2\mathrm{.}93$

b$)$ Lost $$1\mathrm{.}07$

c$)$ Made $$\mathrm{.}07$

d$)$ Made $$2\mathrm{.}93$

Which option has the highest Time Value?

a$)$ Feb $45$ Put

b$)$ Feb $50$ Call

c$)$ May $45$ Call

d$)$ May $50$ Put