European call and put options with 3 months of expiration exist with strike price $30 on the same underlying stock. The call is priced at $3.5, the put is priced at $1.25, while the underlying is currently selling for $28.5.
a) What is the net profit for the buyer of the call if the stock price at expiration is $36?
b) What is the net profit for the seller of the call if the stock price at expiration is $38?
c) What is the net profit for the buyer of the put if the stock price at expiration is $24?
d) What is the net profit for the seller of the put if the stock price at expiration is $22?
e) What is the net profit if one buys both the call and the put, and at expiration the stock price is $39?
f) What is the net profit if one buys both the call and the put, and at expiration the stock price is $22.5?