A deposit instrument offered by a bank guarantees that investors will receive a return during a six-month period that is

[answerhappygod]

A deposit instrument offered by a bank guarantees that investors
will receive a return during a six-month period that is the greater
of (a) zero and (b) 60% of the return provided by a market index.
An investor is planning to put $50,000 in the instrument. Describe
the payoff as an option on the index. Assuming that the risk-free
rate of interest is 5% per annum, the dividend yield on the index
is 2% per annum, and the volatility of the index is 15% per annum,
what is the fair value of the product?