1.)You bought a put option on a stock with a strike price of $5. Suppose that the stock is currently traded at $6 per share, what is the payoff your put option position?

a. $5

b. $1

c. -$1

d. $0

e. $4

2.)Given ten historical returns: [-15%, -13%, -10%, -5%, -3%, 1%, 4%, 7%, 11%, 20%], what is the 20% value at risk (VaR) under the empirical distribution?

a. -10%

b. -13%

c. -15%

d. -14%

e. 11%

please explain choice or no likes thanks!