A trader has a long position in 1,000 European call options on silver futures (futures options). The options mature in eight months, and the futures contract underlying the option matures in nine months. The current nine-month futures price is $24 per ounce, the exercise price of the options is $26, the risk-free interest rate is 4% per annum, and the volatility of silver futures prices is 20% per annum.

A) What is the delta of the position? (The total position.) Report your answer rounded to two decimal places.

B) Assume no storage costs for silver. What initial position in nine-month silver futures is necessary for delta hedging?

Report your answer as the number of ounces of silver covered by futures contracts to hedge the entire position. Round your answer to the nearest full contract. For a short position use a negative sign, for a long position report a positive number.

C) Assume no storage costs for silver. If silver itself is used, what is the initial position?

Report the number of ounces (units) of silver rounded to the nearest full ounce. Use a negative sign for a short position and a enter a positive number for a long position.