You are examining CDSs with March $2024$ maturity written on JPMorgan Chase and

need to determine the upfront fee on March $20,2023.$ The quoted CDS spread on JPMorgan

debt is $81\mathrm{.}55$ bps on March $20,2023$ and the coupon spread is $100$ bps$.$ Notional principal

is $$100$ million. The table below shows discount factors and expected survival probabilities.

Calculate the required upfront fee and indicate who pays and who receives this fee.

Discount Expected Survival

Date Discount Factor expected survival Probability

$6/20/230\mathrm{.}98830\mathrm{.}9993$

$9/20/230\mathrm{.}97720\mathrm{.}9984$

$12/20/230\mathrm{.}96500\mathrm{.}9955$

$3/20/240\mathrm{.}95310\mathrm{.}9924$