1. Calculate the price of a 1-year European put option on a non-dividend-paying stock with a strike price of $20 when the current stock price is $20, the risk-free interest rate is 5% per annum, and the volatility is 20% per annum. a. Calculate the hedge ratio for the put option under the assumption that the stock does not pay dividend. (20 points) b. Determine the (risk-neutral) probability of exercise for the put option under the assumption that the stock does not pay dividend. (20 points) c. Calculate the value of the put option under the assumption that the stock does not pay dividend. (24 points)