Consider the following option positions on XYZ stock. Each option is for one share.

Security	Option 1	Option 2	Option 3	Option 4
Position	-4000	-3000	-2000	0
Delta	0.6	0.4	-0.5	-0.1
Gamma	1.0	2.0	3.0	4.0

What are the delta and gamma of the portfolio?

Delta = ___________________________

Gamma = ____________________________

If XYZ stock suddenly increases by $0.50, what is the gain/loss on the portfolio?

Gain/loss (use negative sign for loss) = _______________________

What position in Option 4 would set the portfolio gamma to zero?

Number of Option 4 contracts (negative for short) = ____________________________

What position in XYZ stock would set the portfolio (with Option 4) to zero?

Number of shares of stock (negative for short) = ______________________________

In the new portfolio (with Option 4 and with XYZ stock), how much does the portfolio change in value if the stock price increases by $0.50?

Gain/loss (use negative)