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If you pay a premium of $1.50 per cwt. for a feeder cattle put option with a strike price of $102, whats the most you
If you pay a premium of $1.50 per cwt. for a feeder cattle put option with a strike price of $102, whats the most you can lose in the option market?
Group of answer choices
$100.50 per cwt
$1.50 per cwt
your potential loss is unlimited
$102 per cwt
If you have purchased a Dec Corn Call Option, you offset by:
Group of answer choices
Buying a Dec Corn Put Option
Selling a Dec Corn Put Option
Selling a Dec Corn Call Option
Buying Dec Corn Futures
If you are a flour miller and you expect your local wheat basis to be -$.40/bushel in March and you buy a March Wheat futures contract for $4.50, then your expected purchase price for wheat in March would be:
Group of answer choices
$4.10
$4.50
$4.90
none of the above
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