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A corn farmer sells futures on wheat which are bought by a large commercial bakery. Which of the following is true? Select one: a. Both

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A corn farmer sells futures on wheat which are bought by a large commercial bakery. Which of the following is true? Select one: a. Both parties to this transaction are speculators b. The farmer is a hedger and the bakery is a speculator C. The farmer will not need to post any margin if he can prove that he is a hedger d. Both parties to this transaction are hedgers e. The farmer is a speculator and the baker is a hedger

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