You have bought both a call option and put option on XYZ stock with the same expiration date. The exercise price of the call option is $40, and the exercise price of the put option is $35. What is the payoff of your options portfolio at the expiration date, if the stock price of XYZ at the date will be $38 per share?

a) $0.00

b) $7.00

c) $1.00

d) $5.00

e) $4.00