Multiple Choice Questions Time to Maturity Current Price Call Premium Stock Exercise Price Put Premium 3 Months 6 Months 3 Months 6 Months $50 Zelda, Inc. Worthen Corp. Frosty Corp. $52 40 35 45 30 $3 1 6 $4.00 1.25 6.30 $ 35 5.50 $1.05 6.00 .65 .45 Use the option information given above to answer the eight questions below. Ignore taxes and transaction costs. Each contract is equal to 100 shares. 20.1 If you purchase one 3-month call contract on Zelda, Inc., what profit or loss will you make at the maturity date if the price of Zelda at that time is $57? (a) $200 (6) $400 (c) -$460 (d) $500 (e) $560 20.2 If Worthen Corporation's price is $35 at the maturity of the 6-month option, determine the value of five 6-month put contracts at their maturity date. (a) $2,000 (0) $5,700 (c) $8,200 (d) -$4,000 (e) $3.600