1.You purchase an 'ATM' call option and an 'ATM' put option for a total cost of $5.00 per stock both with a strike price of $51. (ATM, at-the-money, option means strike price= current stock price) What is the profit (on a per stock basis) of these options if the stock price at maturity was $57.50? (i.e of both these options together)? Please provide your answer to 2 decimal places. A positive number indicates profit, a negative number

2.The returns for Stock Upsy and Stock Daisy are shown below for 5 possible states of the world. Each state is equally likely. What is the correlation coefficient between these 2 stocks? Enter your answer to two decimal points. For example enter 0.15.

State	Upsy	Daisy
1	10%	5%
2	15%	11%
3	10%	7%
4	6%	8%
5	8%	9%

You are making an important capital budgeting decision for your company. You are considering a project that costs $ 5,000 upfront and yields the following after-tax incremental cash-flows:

Year 1: $ 1,500 Year 2: $ 3,000 Year 3: $ 1,100 Year 4: $ 300 Year 5: $ 200

What is the NPV of this project when the discount rate is 10%?

Your Answer: