ECON330- Money and Banking- Chap- Assignment question Question No.1-You buy a call option from Finance Service Company on Olive O $ exercise price and a premium of 5 S. The date of delivery is December 31 2018. You should: il at 250 buyc( 1. Compute your gain from this contract if the Olive Oil price in 31/12/2018 takes the following values: 225, 230, 235, 240, 245, 250, 255, 260, 265, 270, 275. 2. Draw the graphic for your gaino 3. Compute the gain of the biyer of the contract (Finance Service Company, i.e.) at the same previous market prices Draw the graphic for the buyer gain. mentioned in 1. above. 4. Question No.2- You has the following information about two investments expected return: Strong No Change Weak 20% 54% 26% 45% 30% 15% 25% 12% 5% You should: 1. Compute the expected return for these two projects. Which one is more profitable? 2. Compute the standard deviation for each project. Which one you will choose? ine