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Which type of risk control does each of the following management strategies illustrate? Price grain by buying a commodity option (put) 1. Reduce the variability

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Which type of risk control does each of the following management strategies illustrate? Price grain by buying a commodity option (put) 1. Reduce the variability of possible outcomes Produce five different crops instead of only one 2. Set a minimum price or income level, for a fixed charge Have the capacity to either sell feeder pigs or finish them to market weight 3. Maintain flexibility for making decisions

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