Exon is worried about uncertsinty regarding the price it will be able to charge to sell oil in the future. Exxon wants to lock in the price it will charge for oll in case the price declines in the future, but does not want to be obliged to sell at that price if prices happen to increase. What derivative contract should Exoon use for this purpose?

Long futures contract

Put options

Call options

Short futures contract

A $18-$year, $6\mathrm{.}5\%$ coupon rate, $$1,000$ face value bond is paying semi$-$annual coupons. What is it worth if its yield to maturity is $5\mathrm{.}5\%?$

$$

$$

a$.11,077\mathrm{.}8$

$q,$ b$.$ $$1,091,2$

c$.$ $$1,2000$

d$.$ $$1,159\mathrm{.}4$

e$.$ $$1,113\mathrm{.}3$