Consider a put option selling for $4 in which the exercise price is $60 and the price of the underlying is $62.

a) Determine the value at expiration and the profit for a buyer under the following outcomes:

i. The price of the underlying at expiration is $62.

ii. The price of the underlying at expiration is $55.

b) Determine the value at expiration and the profit for a seller under the following outcomes:

i. The price of the underlying at expiration is $51.

ii. The price of the underlying at expiration is $68.

c) Determine the following:

i. The maximum profit to the buyer (maximum loss to the seller)

ii. The maximum loss to the buyer (maximum profit to the seller) d) Determine the breakeven price of the underlying at expiration.