5) Chevron stock sells for $80/share. The annual interest rate is 3%, and the annual standard deviation on Chevron stock is 25%. The time to expiration of all options is 9 months. You are short 200 nine month put options on Chevron with a strike price of 82. To hedge your position, you can buy or sell Chevron stock, Given all this: A: (8 points) Derive the position you will take if you want to delta hedge your position. C: (12 points) Given your answer in A graph the net gain or loss in your positions if the price of Chevron jumps instantaneously to X, X a number between 65 and 95. 5) Chevron stock sells for $80/share. The annual interest rate is 3%, and the annual standard deviation on Chevron stock is 25%. The time to expiration of all options is 9 months. You are short 200 nine month put options on Chevron with a strike price of 82. To hedge your position, you can buy or sell Chevron stock, Given all this: A: (8 points) Derive the position you will take if you want to delta hedge your position. C: (12 points) Given your answer in A graph the net gain or loss in your positions if the price of Chevron jumps instantaneously to X, X a number between 65 and 95