It is November 21^st and July soybean futures are trading at 9452. A 900 July soybean put is trading at 162 and a 900 July soybean call is trading at 595. A 980 July soybean put is trading at 593 and a 980 July soybean call is trading at 233.

1. Suppose you will be selling soybeans in July and you hedged your soybean purchase on November 21^st with the July soybean futures contract. When you sell your soybeans the July soybeans futures are 9462 and you received 8312 cash for the soybeans. How much is your basis when you sold the soybeans? Calculate net selling price for the soybeans?

2. Suppose you set a fence for your soybean sale on November 21^st. Calculate the maximum selling price set by the fence? Calculate the minimum selling price set by the fence? Use the basis you calculated in part a. of question 4.

3. When you sell your soybeans the July soybeans futures are 9462 and you received 8312 cash for the soybeans. You had set your fence in part b. Calculate the net gain/loss on your put. Calculate the net gain/loss on your call. Calculate your net selling price.