please be thorough

d) You are given the information outline in the table below. PUT OPTION CALL OPTION STRIKE PRICE $40 $70 OPTION PREMIUM (PRICE PER OPTION) $3 $6.25 1. Using the information from the table draw the payoff diagram for an investor that wants a long position of 100 call options. (2 marks) II. Using the information from the table draw the payoff diagram for an investor that wants a long position of 100 put options. (2 marks) If the value of the underline at the maturity of the contract is $80 calculate the profit to the writer of 100 put options. (2 marks) e) You are an investment analyst for a small portfolio. The investment manager asked you to call upon your knowledge of options and the put call parity. He wants you to build a portfolio position of stocks and derivatives that has a guaranteed rate of return regardless of what happens in the market. I. Indicate the components of this portfolio. (2 marks) II. Indicate what you expect the guaranteed rate of return to be on this portfolio position. (1 mark)