Answered step by step
Verified Expert Solution
Question
1 Approved Answer
5. Assume that an index price is quoted 1000. Effective interest rates are discrete and quoted 2 per cent for 6-months. A 1000 strike price,
5. Assume that an index price is quoted 1000. Effective interest rates are discrete and quoted 2 per cent for 6-months. A 1000 strike price, maturity 6-months call option has a value of 93.809. The put is quoted 74.201. After 6-months the index price was 900. Find the P&L (profit and loss) of the long index and short put portfolio. (A) 100.68 (B) 95.68 (C) 79.54 (D) -95.68 (E)-100.68 5. Assume that an index price is quoted 1000. Effective interest rates are discrete and quoted 2 per cent for 6-months. A 1000 strike price, maturity 6-months call option has a value of 93.809. The put is quoted 74.201. After 6-months the index price was 900. Find the P&L (profit and loss) of the long index and short put portfolio. (A) 100.68 (B) 95.68 (C) 79.54 (D) -95.68 (E) -100.68 5. Assume that an index price is quoted 1000. Effective interest rates are discrete and quoted 2 per cent for 6-months. A 1000 strike price, maturity 6-months call option has a value of 93.809. The put is quoted 74.201. After 6-months the index price was 900. Find the P&L (profit and loss) of the long index and short put portfolio. (A) 100.68 (B) 95.68 (C) 79.54 (D) -95.68 (E)-100.68 5. Assume that an index price is quoted 1000. Effective interest rates are discrete and quoted 2 per cent for 6-months. A 1000 strike price, maturity 6-months call option has a value of 93.809. The put is quoted 74.201. After 6-months the index price was 900. Find the P&L (profit and loss) of the long index and short put portfolio. (A) 100.68 (B) 95.68 (C) 79.54 (D) -95.68 (E) -100.68
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started