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You buy 1 share of stock for $40 and then decide to hedge the risk by SELLING a futures contract on 1 share of that

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You buy 1 share of stock for $40 and then decide to hedge the risk by SELLING a futures contract on 1 share of that stock (it's important to know why you need to sell rather than buy a futures contract in order to put the hedge in place). The futures contract is priced at $43.79 when you sell it. When the futures contract matures, the stock ends up being worth $36. By hedging, you locked yourself into an overall (net) payoff of $_. Round to the nearest pen iy. Answer: Check

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