This question was created from HW7 5632 https://www.coursehero.com/file/11277912/HW7-5632/
From 7.4: Suppose that a stock satisﬁes the following: S(0) = 32 δ = 0.03 r = 0.09 σ = 0.2 You purchase 50 eight month calls with strike 33 on this stock. You immediately ∆ hedge your position by selling shares of the stock. (a) How many shares of the stock do you sell? (b) How much money do you lend?
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