$3.$ Maxwell & Winslow $($MWD$),$ an interior design firm, has a spot price of $$58\mathrm{.}76$ per share. The following options are available. Assume an interest rate of $2\%.(3$ points$)$

Spot Expiration Call Price Strike Price Put Price

$$58\mathrm{.}763$ Months $$6\mathrm{.}03$ $$55\mathrm{.}00$ $$1\mathrm{.}93$

$$58\mathrm{.}763$ Months $$3\mathrm{.}36$ $$60\mathrm{.}00$ $$4\mathrm{.}22$

a$.$ You have no cash, but have a strong opinion that the share price will increase over the next $3$ months. Describe how you can create a bull spread using the above options.

b$.$ Draw a profit diagram of your position. Clearly indicate all breakeven points, and intercepts.

c$.$ You have no cash, but have a strong opinion that the share price will decrease over the next $3$ months. Describe how you can create a bear spread using the above options.

d$.$ Draw a profit diagram of your position. Clearly indicate all breakeven points, and intercepts.