1 .You sold a 3-month european call option with a strike price $40 for $2.25. At the same time, you sold a 3-month european put option on the same stock with a strike price of $40 for $.95. Calculate the dollar return of your portfolio if the stock sells for $47 when the options expire. Do not use currency symbols or words when entering your response.

2. Now, assume the banker chose to speculate using the underlying asset (FGH stock) instead of the option contracts. Find her dollar return, assuming she uses 1000 shares to speculate. Do not use currency symbols or words when entering your response.