You purchased six TJH call option contracts with a strike price of $40 when the option was quoted at $1.30. The option expires today when the value of TJH stock is $41.90. Ignoring trading costs and taxes:

what is your total profit or loss on your investment?

Using a free hand graph, graphically present the profit/loss position above

6B

Three months ago, you purchased a put option on WXX stock with a strike price of $60 and an option price of $.60. The option expires today when the value of WXX stock is $62.50. Ignoring trading costs and taxes:

what is your total profit or loss on your investment?

Using a free hand graph, graphically present the profit/loss position above

Suppose shares of ABZ co. are selling for $110. A call option on market with one year to maturity and a $110 strike price sells for $15. A put with the same terms sells for $5. What is the risk-free rate?