Lecture 5 Tutorial OPTION )IARKETS AND CONTRACTS Use the following Information to answer Questions 1 to 13: Current market price of ABC stock = 577 ABC stock price otter 30 days = 580 ABC stock price after 45 days = $95 ABC stock price after 60 days = $80 ABC stock price after 75 days = 585 ABC stock price after 90 days = $70 Current price of European call on ABC stock with exercise price of $93 With 90 days to expiration = $2 Current price of European put on ABC stock with exercise price of $82 with 60 days to expiration = $6 Risk-free rate = 5% l. The payoff to the put option holder on Day 30 is doses! to: A. Zero B. $2 C. -52 2. The payoff to the call option holder on Day 90 i5 doses! to: A. Zero B. 523 C. 521 3. The payoff to the put option writer on Day 60 is closest to: A. Zero B. -SZ C. $4 4. The payoff to the call option Writer on Day 90 is closest to: A. Zero B. $23 C. -$21