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Question 4 Review Consider the same corn farmer in lowa who expects to harvest 20,000 bushels of corn. The size of CBOT corn futures contract

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Question 4 Review Consider the same corn farmer in lowa who expects to harvest 20,000 bushels of corn. The size of CBOT corn futures contract is 5,000 bu. Using historical data, she estimated the risk-minimizing hedge ratio (HR*) which is 0.5. If her objective is to minimize risk, how many corn futures contracts should she short? Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer. a b 2 C 3 d 4 Correct Answer: v b - 2

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