(a)

(b)

(c)

You buy one November $185 (strike) put on stock XYZ for an option premium of $6. Ignoring transactions costs and time value of money, what is the break-even stock price of this position? Break even means zero profit / loss. Round your answer to 2 decimal places (nearest cent). A bond is immediately callable at call price $110. If the underlying straight bond has value $115.48, then what is the value of the call option? Round your answer to 2 decimal places (nearest cent). A bond with face value 5,000 currently trades at par. Its Macaulay duration is 3.38 years and its convexity is 54.09. Suppose yield currently is 5.31%, and is expected to change to 4.94%. Calculate the approximate dollar change in price using both duration and convexity. Assume annual compounding. Round your answer to 2 decimal places. You buy one November $185 (strike) put on stock XYZ for an option premium of $6. Ignoring transactions costs and time value of money, what is the break-even stock price of this position? Break even means zero profit / loss. Round your answer to 2 decimal places (nearest cent). A bond is immediately callable at call price $110. If the underlying straight bond has value $115.48, then what is the value of the call option? Round your answer to 2 decimal places (nearest cent). A bond with face value 5,000 currently trades at par. Its Macaulay duration is 3.38 years and its convexity is 54.09. Suppose yield currently is 5.31%, and is expected to change to 4.94%. Calculate the approximate dollar change in price using both duration and convexity. Assume annual compounding. Round your answer to 2 decimal places