Farmer Toy grows wheat, and will be selling his crop in 6 months. The current price of wheat is $8.50 per bushel. You are given the following options trading strategies:

• Long position in a call with strike $8.8
• Long position in a put with strike $8.6
• Short position in a call with strike $8.8
• Short position in a put with strike $8.6
• To reduce the risk of fluctuation in price, Toy wants to use the above mentioned options with an expiration of 6 months to sell the wheat at a price between $8.6 and $8.8 per bushel. Toy also wants to minimize the cost of using derivatives.
• Could you please identify a strategy or a combination of strategies from above to achieve Toy's goal? Please briefly explain.
• Topic 7: Option trading strategies