a) Ms. Right bought July, S & P 100 Index call with a strike price of 2050 paying a premium of $7.50. By the expiration date, the index goes to 2075. How much profit will she make and what is her HPR?

b) On the other hand, if S & P 100 Index drops by 25 points to 2025, what will be her profit or loss, and the corresponding HPR?