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The treasurer of an airline company wishes to hedge its profit from a rising cost of fuel, and retain potential for more profit should the
The treasurer of an airline company wishes to hedge its profit from a rising cost of fuel, and retain potential for more profit should the market price fall. Which one of the following option positions is best suited for their hedging needs?
Select one: a. Sell call options on oil futures. b. Sell oil futures. c. Buy oil futures. d. Buy call options on oil futures.
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