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6. A company sells a certain product at a current price of $500. The company hedges against price declines using a one-year 500-strike European put

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6. A company sells a certain product at a current price of $500. The company hedges against price declines using a one-year 500-strike European put option with a premium of $38.84. The risk-free annual effective rate of interest is 9%. X is the company's profit from the put option for a price at expiration of $490. Determine X. (A) - $22.34 (B) - $28.84 (C) -$32.34 (D) - $42.34 (E) - $52.34

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