HIRE QUALIFIED ACADEMIC WRITERS
1. Suppose you buy the S&P index for $1000 and buy a 6 month 0 strike put of $51.77. If the 6 month interest rate is 2%, what is the profit if the index is at 9502. Assume that the 6 month interest rate is 2%, and a 6 month 50 stick call costs $71.802 and a 6 month 50 strike put costs $101.214 on the S&T index. Suppose you buy a 1050 strike straddle. Determine the profit if the index is at $1150 in 6 months.