You purchase a one year call option for $5.48 with a strike (exercise) price of $44.29 on a stock that is currently trading a $41.65. At the same time you sell a one year put option with the same strike price of $44.29 for $4.65. The current one year interest rate is 6.35%, one year forward (price) on the stock is $44.29.

Fill in the table below to determine the payoff of a portfolio that is long in the call option and short in the put.

Assets	State Price ST=$40.29	State Price ST=$42.29	State Price ST=$44.29	State Price ST=$46.29	State Price ST=$48.29
Call Option X=
Written Put X=
Total Payoff

Suppose you also took a short position in a forward contract with a forward price $44.29, What is the payoff of the forward contract?

Assets	State Price ST=$40.29	State Price ST=$42.29	State Price ST=$44.29	State Price ST=$46.29	State Price ST=$48.29
Short-Position in the Forward Contract

What is the total payoff of your two portfolios, Long Call, written put, and a short forward contract?

Portoflios	State Price ST=$40.29	State Price ST=$42.29	State Price ST=$44.29	State Price ST=$46.29	State Price ST=$48.29
Portfolio 1 Call & Written Put
Short Forward Contract
Total Payoff

What is the price of the first portfolio (Long Call and Short Put)?

What is the price of the Forward Contract?