If debt and equity can be modeled as options on the firm’s assets, then the firm's shareholders have essentially _______

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If debt and equity can be modeled as options on the firm’s assets, then the firm's shareholders have essentially ____________________ and the bondholders have essentially ____________ on assets.
a.
bought a call; bought a put
b.
bought a put; sold a call
c.
sold a put; sold a call
d.
bought a call; sold a put
A two-year zero-coupon bond has a par value 100 and is priced to yield 5% per year. The annual risk-free interest rate is 3%. Calculate the approximate premium of a put option on the firm’s assets, assuming Merton’s (1974) model.
a.
$3.69
b.
$9.72
c.
$10
d.
$5.15