Question #1: Option Basics and Option Strategies [28 Points] Use the following Table to answer Parts (a) -(e) Current Price of Twitter, Inc. (TWTR) Stock $60.50 Strike Price of a call option that will expire in $62.50 March 2022 Premium of the call option ($ per share) that $8.06 will expire on March 2022 (a) Suppose that Tristan purchases four (4) call option contracts on TWTR with an expiration date of March 2022. Suppose that the stock price of TWTR increases to $73.49. What is the total profit (in dollars) that Tristan will realize as a result of this option trade? (5 Points] (6) What is the maximum amount that Tristan can gain if he were to purchase 4 call option contracts on TWTR? [2 Points] (c) What is the maximum total amount that Tristan can lose if he were to purchase 4 call option contracts on TWTR? [3 Points) Use the following Scenario to answer Parts (d) - (h) Suppose Elena purchases 400 shares of SNAP, Inc. (SNAP) for $64.09 and simultaneously she buys 4 put options with an expiration of 6 months that has a strike price of $55. The price of the put option is at $5.20. (d) What is the option strategy that Elena has decided to employ? No explanation is required. [2 Points) (e) Calculate Elena's total profit (or loss) from this option strategy if the price of SNAP stock is $38.25 in 6 months. [6 Points) (t) What would the price of Snap, Inc. have to be in order for Elena to break even from this strategy? [4 Points) (g) What is the maximum potential loss Elena could incur as a result of this option strategy? (3 Points) (h) What is the maximum potential gain Elena could have as a result of this option strategy? [3 Points)