3. Chico Wildcat Co. (CWC) current stock price is $44 per share. Due to the uncertain economic condition, analysts predict that the stock will either double or halve over the next year. Assuming capital markets are perfect and the risk-free rate of 10% per year, construct a portfolio that replicates the payoff of a one-year European call option on CWC with an exercise price of $50. (Find delta and B, and briefly explain what they mean). 4. Using the same information given for CWC above, what is the value of the call option? 5. What would be the hedge ratio of a one-year put option with the same strike price as above in relation to the call option, and what does this number tell you