Anthony is planning to buy 5 000 shares of XYZ once funds are available to him in six months' time. Futures contracts on XYZ deliver 100 shares each and expire eight months from now. He buys 50 of these contracts at a price of $40 (per share) to hedge against upward price movements in the stock. Six months later (t=6) the stock price of XYZ is $36 and the futures price is $38 (to expire in two months' time). If Anthony closes out his futures position and then proceeds to buy the shares in the market (both at t=6), calculate his net cost of buying XYZ shares once the futures gain/loss is considered. a. $180 000 b. None of the other choices $190 000 O d. $172 000 Clear my choice Bond B has 10 years to maturity, face value of 100, and a coupon rate of 6%; the bond pays coupons semi-annually. Market yield on similar securities is 4% per half year. You can buy bond B from a friend for $90. Should you do it? O a. You are indifferent as the bond is fairly priced at $90. O b. None of the other choices OC. Yes, since $90 is lower than the bonds fair value. O d. No, since $90 is higher than the bonds fair value