1. Draw graphs (or create tables) for a writer and a holder on a September put on IBM with exercise price $120.

2. A short sale. Suppose that you are bearish (pessimistic) on IBM stock, ant that its current market price is $14 per share. You tell your broker to sell short 100 shares. The broker borrows 100 shares either from another customers account or from another broker. Assume the broker has a 60 percent margin requirement on short sales. Make a table of the investors account (assets and liabilities and owners equity) and calculate the meaning of margin. Describe how increase and decrease of stock price will influence the margin. For example, consider situations when prices will be $12 and $18.

3.You are a holder of a promissory note. Nominal amount of promissory note value is 1000 rubles. Maturity date is 1st July. You want to cash the promissory note on 15th June. The discount rate is 18 per cent. What sum will you get on 15th June (write an equation).

4. Draw graphs (or create tables) for a holder of a protective put on Rosneft company with an exercise price of 400 rubles.

5. The current market price of the stock chosen by a client of Brokerage Company is $10. The broker received from his client the following orders. Write the type of each order (market order, stop limit order, stop order, limit order and others), the meanings of stop price and price limit:

1. A broker has got an order to buy stock. A client wants to buy stock for $10.2.

2. A broker has got an order to sell stock. The price of order is stipulated at $10.2.

3. A broker has got an order to sell stock. No mentions about price.