2.4 Jomens Ltd also owns shares in other listed companies, such as Microsoft and MTN. Suppose Jomens has asked you to manage their large share portfolio. You would like to buy and/or sell options on many of the shares they owns. Describe the types of options you would buy or sell, as well as your rationale, given the following circumstances: a. Jomens Ltd owns 10 000 Microsoft shares. You believe it is going to fall in price, but they won't let you sell it because the late founder told them never to let it go. How do you protect Jomens Ltd from the impending price decline? (4 marks) b. Your analysis suggests that the ordinary shares of MTN is poised to increase in value sharply over the next year. Jomens Ltd doesn't want to buy any of the shares, but they want you to use options to profit if the price rises. What do you do? (4 marks) 2.5 Why do you think the most actively traded options tend to be the ones that are near the money? (3 marks) 2.6 Briefly distinguish between American option and European Option. (3 marks) .