1. An investor plans to short sell a stock and wants to protect herself from the possible increase in its price. She is considering either buying a call option or writing a put option. Discuss the factors she should she consider in making the decision of which option strategy to use.
2. Explain the differences and similarities between net present value (NPV) and the profitability index. Your response should be in the form of a Word or PDF document consisting of 100-300 words. Cite any sources you consult to inform your response.