1. What is an example of using derivatives for "Risk Management"?

2. LUV stock is trading 500 dollars per share. Match 3 of these possible execution prices to the written order: 1)499, 2)500, 3)501. More than one price may apply to each order.

Sell 100 shares of LUV at the limit price of $500 ________ Buy 100 shares at the market price _________ Buy 100 shares of LUV at the limit price of $500 ________