Step 3: At t = 12 313 and S3 18 = 12 (1) How much do you have in your bank account?+ Ans.+ (2)When the price of the underlying stock goes down to $18, the delta of the put option decrease from A= -0.4936 to A. Show A. Ans.+ (2) To make the portfolio delta neutral (i.e., A = 0) when S3 should you do?+ Ans.+ 12 = 18, how Step 4: Show your profits or losses when the stock price on the option maturity date is S6 = 24.2 (from S3 12 = 22). 12 Ans.+ Show your profits or losses when the stock price on the option maturity date is S6 = 19.8 from S322). 12 12 Ans.+ Step 5: Show your profits or losses when the stock price on the option maturity date is Ans.+ S6 12 = 19.8 (from S3 = 18).+ 12 Show your profits or losses when the stock price on the option maturity date is S6 ==== 16.2 (from S3 18). Ans.+ 12 12