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You would like to lock in the selling price on 60,000 bushels of wheat, which you plan to harvest and deliver to the market in September. The September futures price quote is currently $9.0275 . If you write September futures contracts on your wheat, you will be guaranteed a total price of for your crop. Each contract size of 5,000 bushels. O 1.$541,560.00 O 2. $45,637.50 O 3.$541.650.00 O 4.$451.650.00 Mahdi would like to have the right to buy 200 shares of BB Industries stock at a price of $35.50 a share. How much will it cost him to purshase options to meet this objective? Use these option quotes to answer this question: ZZ Industries: Price 34.36 Calls: Strike Symbol Last Bid Ask Vol 30.00 ZZBF 4.30 4.30 4.40 62 Chg 10.07 10.07 10.05 Open Int 3.429 8,168 38,017 32.50 ZZBZ 1.87 1.82 1.87 236 35.50 ZZBG 0.01 0.00 0.01 3119 Puts: Chg Bid Vol Strike 30.00 Symbol ZZNF Last 0.01 Ask 0.01 Open Int 7,258 0.00 0.00 32.50 ZZNZ 0.01 0.00 0.01 562 34,972 10.02 10.14 0.60 0.63 0.68 2637 19.686 3500 ZZNG O 1.$1.87 O 2. $2.00 Strike Last Bid Ask Vol Symbol ZZBF Open Int 3,429 30.00 4.30 4.30 4.40 62 Chg 10.07 10.07 10.05 32.50 ZZBZ 1.87 1.82 1.87 236 8,168 35.50 ZZBG 0.01 0.00 0.01 3119 38,017 Puts: Vol Strike 30.00 Symbol ZZNF Last 0.01 Chg 0.00 Bid 0.00 Ask 0.01 Open Int 7,258 0 32.50 ZZNZ 0.01 0.00 0.01 562 34,972 10.02 10.14 0.60 0.63 0.68 2637 19.686 3500 ZZNG O 1. $1.87 O 2. $2.00 O 3. $374.00 O 4. $430.00 Cole's Jewelers purchased a futures contract on 200 ounces of gold to be exchanged 3-months from now. As the contract holder, Cole's Jewelers: O 1. is expecting the price of gold to decrease and thus is locking in a selling price. O 2. has the obligation to purchase 200 ounces of gold at the market price three months from now. O 3. has the right, but not the obligation, to purchase 200 ounces of gold 3 months from now. O 4. will profit if the price of gold is higher three months from now. An option that grants the right, but not the obligation, to buy shares of the underlying asset on a particular date at a specified price is called: 1. a European call 2. a European put. 03. an American put O 4. either an American or a European option