All written work must be double-spaced, use 12 pt. Times N…

  All written work must be double-spaced, use 12 pt. Times New Roman font, be organized in sections with headings and subheadings, and have page numbers and one-inch margins and your group members names on the paper. Additionally, papers must be Word documents with your group number as part of the document name.

Your firm enters into a swap today, agreeing to pay SOFR aga…

Your firm enters into a swap today, agreeing to pay SOFR against receiving a fixed 5.50%. Semiannual payments, paid in arrears, notional size is $10 million. Today SOFR is at 5.05% and six months later, SOFR is 5.25%. What is the amount of the first payment of this swap? 

Consider this information on Nike (ticker NKE) and options o…

Consider this information on Nike (ticker NKE) and options on NKE expiring Friday 23 February 2024. Bid price per share; $102.29 Ask price per share: $102.31 Calls Puts Last Sale Bid Ask Strike Last Sale Bid Ask $2.98 $2.93 $3.05 $100 $0.60 $0.58 $0.62 $2.30 $2.26 $2.32 $101 $0.88 $0.86 $0.89 $1.66 $1.64 $1.69 $102 $1.28 $1.22 $1.27 $1.13 $1.12 $1.17 $103 $1.90 $1.69 $1.76 $0.76 $0.73 $0.77 $104 $2.79 $2.30 $2.46 $0.49 $0.46 $0.50 $105 $3.27 $3.05 $3.15 You want to buy 100 shares. You could buy them today in the spot market but are considering an options strategy to get paid to do what you want to do. You sell a put option with a strike price of $104. By maturity next Friday the option is exercised against you. Ignoring taxes, how much better off will be relative to buying in the spot market?