Suppose you purchase the May 2017 put option on corn futures with a strike price of $3.80. Assume your purchase was at the last price. Use Table 23.2 a. How much does your option cost per bushel of corn? (Round your answer to 5 decimal places, e.g., 32.16161.) b. What is the total cost for one contract? Assume each contract is for 5,000 bushels. (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) c. Suppose the price of corn futures is $3.58 per bushel at expiration of the option contract. What is your net profit or loss from this position? (Enter your answer as a positive value. Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) d. What is your net profit or loss if corn futures prices are $4.07 per bushel at expiration? (Enter your answer as a positive value. Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) per bushel a. Option cost b. Total cost c. Profit d. Loss TABLE 23.2 Sample CME Group Futures Options Price Quotations Prior settie Charts Last Change High LOW Volume Underying Future May 2017 Updated 16:38:37 CT 10 2017 3772 OTO 3570 3780 Type: American Options Expiration : May 2017 Strike Range: At The Money Puts LOW Limit Volume Stre Price Prior Sottle Change High Updated Low Last Prior Change Settle LON Last High Volume Limit Updated No 1535.57 CT 10 2017 57 54 53 No 594 Lt 00 00 CT 10 2017 NO 163837 CT 10 2017 NO Limit 00 235 3050 3 70 CT 10 2017 NO 16386 CT 10 Feb 2017 65 31 197 3700 85 94 97 NO 917 U 00 CT 10 Pro 00 16.38.40 CT 10 Feb 2017 NO LIM 00 11 3750 103 14 103 107 NO 3.919 Lt 00 CT 10 FD 2017 163837 CT 10 Fe NO LI 09 23 150 3000 145 NO 100 Lt 00 163824 CT 10 2017 NO 163007 CT 10 Ped 2017 NO LIME 00 44 125 97 25 . 175 . 16 3800 CT 10 2017 00 15 30.47 CT 10 F 2017 No Lim 00 196 110 81 105 186 NO 183 Lt 00 16:30:47 CT 10 FD 2017 NO NO 1635 25 CT 10 Feb 2017 77 243 . 163820 CT 100 00 NO 15334 CT 10 56 75 NO 11 LIMI 00 00 CT 10 2017 16.30.47 CT 10 Fe 2017 18557 57 22 NO Limit 00 00 CT 10 2017 About This Report Source: CME Group (www.cmegroup.com), February 10, 2017