Question: Question 6 (3 points) Joseph Jones, a manager at Computer Science Australia (CSA), received 5,000 shares of his company as part of his compensation package.

Question 6 (3 points) Joseph Jones, a manager at Computer Science Australia (CSA), received 5,000 shares of his company as part of his compensation package. Joseph would like to defer selling the stock for three months. However, Joseph is worried about the price risk involved in keeping his shares for three months. Therefore, he is considering using the collar strategy to protect the value of his portfolio. A call option on a CSA share has a strike price of $140 and sells for $1.50. A put option on a CSA share has a strike price $110 and sells for $2.00. Calculate Joseph's net income after three months for the following share prices: (a) $150 (b) $120 (c) $100

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