Use the option quote information shown here to answer the questions that follow. The stock is currently selling for $83. (Do not leave any empty spaces; input a 0 wherever it is required.)

			Calls			Puts
Option and TSX Close	Expiration	Strike Price	Vol.	Last		Vol.	Last
RWJ	March	80	230	2.80		160	0.80
	April	80	170	6.00		127	1.40
	July	80	139	8.05		43	3.90
	October	80	60	10.20		11	3.65

a-1. Are the call options in the money?

multiple choice 1

Yes, The calls are in the money.

No, The calls are out of the money.

a-2. What is the intrinsic value of an RWJ Corp. call option?

The intrinsic value of the calls is $ .

b-1. Are the put options in the money?

multiple choice 2

Yes, The puts are in the money.

No, The puts are out of the money.

b-2. What is the intrinsic value of an RWJ Corp. put option?

The intrinsic value of the put is $ .

c-1. Two of the options are clearly mispriced. Which ones?

multiple choice 3

July call and October put

April call and July put

March call and October put

April call and October put

March call and July put

c-2. At a minimum, what should the mispriced PUT option sell for? (Round the answer to 2 decimal places. Omit $ sign in your response.)

The mispriced PUT should sell for $