1. An investor holds long call options that may be exercised at any time over the next month. The spot price of the underlying asset is $12.75; the strike price of the option is $15.10; and the premium paid was $2.35. What is the value of the option to the holder?
2. A company issues a 90-day bill with a face value of $100 000, yielding 7.65% per annum. What amount would the company raise on the issue?