(Quantification of Covered Call Writing). Use data presented in Figure 1 (screenshotted below) to answer the following. Assume you write BHPWL9 to have a in-the-money covered call writing and write BHPS57 to have a out-of-the-money covered call writing. Use the following table template to record profit of two strategies. From the risk and rewards perspective, comment on these two types of covered call writings in approx 400 words

Figure 1

IN THE MONEY WRITING		OUT OF THE MONEY WRITING
STOCK AT EXPIRATION	TOTAL PROFIT	STOCK AT EXPIRATION	TOTAL PROFIT
35		35
37		37
39		39
41		41
43		43
45		45
47		47
49		49
51		51
53		53
55		55
57		57
60		60

21 April 2022 | 2 months to expiry CALLS BID (5) OFFER (5) OPEN INTEREST LAST TRADES CODE STYLE VOLUME STRIKE (5) BHPWL9 (A) 3.68 4.28 65 O 3.56 44.00 BHP8V7 A) 3.31 3.88 6 0 3.24 44.50 BHP608 (A) 2.94 3.52 102 0 236 45.00 BHPFX7 (A) 2.71 3.17 25 0 2.56 45.50 BHPFZ7 A) 2.42 2.79 204 0 227 46.00 BHPKL7 (A) 2.12 2.51 50 0 1.99" 46.50 BHPKNZ 1.84 2.17 83 15 176 47.00 LAST: 47.41 BHPNSZ (A) 1.64 1.85 51 15 1.57 47.50 BHPNUZ (A) 140 161 62 2 132 48.00 BHPNW7 A) 120 139 11 0 113 48.50 BHPS17 (A) 1.02 1.21 0 0 0.97 49.00 BHPS37 (A) 0.87 1.05 0 0 49.50 BHPS57 A) 0.73 0.91 10 0 0.71 50.00 Prices delayed by at least 20 minutes 21 April 2022 | 2 months to expiry CALLS BID (5) OFFER (5) OPEN INTEREST LAST TRADES CODE STYLE VOLUME STRIKE (5) BHPWL9 (A) 3.68 4.28 65 O 3.56 44.00 BHP8V7 A) 3.31 3.88 6 0 3.24 44.50 BHP608 (A) 2.94 3.52 102 0 236 45.00 BHPFX7 (A) 2.71 3.17 25 0 2.56 45.50 BHPFZ7 A) 2.42 2.79 204 0 227 46.00 BHPKL7 (A) 2.12 2.51 50 0 1.99" 46.50 BHPKNZ 1.84 2.17 83 15 176 47.00 LAST: 47.41 BHPNSZ (A) 1.64 1.85 51 15 1.57 47.50 BHPNUZ (A) 140 161 62 2 132 48.00 BHPNW7 A) 120 139 11 0 113 48.50 BHPS17 (A) 1.02 1.21 0 0 0.97 49.00 BHPS37 (A) 0.87 1.05 0 0 49.50 BHPS57 A) 0.73 0.91 10 0 0.71 50.00 Prices delayed by at least 20 minutes