Section C (4 Mark)
Mr. XYZ is bullish about ABC Ltd stock. He buys ABC Ltd. at current market price of Rs. 4000 on 4th July.
To protect against fall in the price of ABC Ltd. (his risk), he buys an ABC Ltd. Put option with a strike price Rs. 3900 (OTM) at a premium of Rs. 143.80 expiring on 31st July.
What would be the Net Payoff of the Strategy?
* If ABC Ltd closes at 3458
* If ABC Ltd closes at 4352

Section A (1 Mark)
How many states operate lotteries to generate revenue in US?

Section C (4 Mark)
Dyder System is a full-service truck leasing, maintenance, and rental firm. The following are selected numbers from the financial statements for 1992 and 1993 (in millions).

The firm had capital expenditures of Rs800 million in 1992 and Rs850 million in 1993. The working capital in
1991 was Rs34.8 million, and the total debt outstanding in 1991 was Rs1.75 billion. There were 77 million shares outstanding, trading at Rs29 per share.
Estimate the cash flows to the firm in 1992 and 1993(in Rs Millions)

Section A (1 Mark)
In US which of the following is classified as passive income?

Section A (1 Mark)
Securities with betas less than 1 should have: