How to do (a) that I know the answer is 0.0129, but I dont know how to calculate it.

2. I currently own one share of Goldman Sachs stock. I do not expect the price to fall substantially over the near future, but I do realize that it is a possibility. As such I am considering selling a bit of my stock and using the proceeds to purchase a three-month put option struck at $175 (currently trading at $2.49). Assume that I can buy/sell fractions of stocks and puts. (a) How many shares do I need to sell in order to purchase exactly one put? (b) Suppose that I sell enough shares to purchase exactly one put. Show that if Vr is the value of my portfolio in three months, then 175 -0.0129Srif Sr 175. (e) Sketch Vr as a function of Sr. (d) For what values of Sr is Vr > Sy? (e) When a person who owns a stock purchases a put on that stock, we say they have purchased a protective put. Explain this terminology. 2. I currently own one share of Goldman Sachs stock. I do not expect the price to fall substantially over the near future, but I do realize that it is a possibility. As such I am considering selling a bit of my stock and using the proceeds to purchase a three-month put option struck at $175 (currently trading at $2.49). Assume that I can buy/sell fractions of stocks and puts. (a) How many shares do I need to sell in order to purchase exactly one put? (b) Suppose that I sell enough shares to purchase exactly one put. Show that if Vr is the value of my portfolio in three months, then 175 -0.0129Srif Sr 175. (e) Sketch Vr as a function of Sr. (d) For what values of Sr is Vr > Sy? (e) When a person who owns a stock purchases a put on that stock, we say they have purchased a protective put. Explain this terminology