You purchase one MBI March 120 put contract for a put premium of $10 (Each stock option contract provides for the right to buy or sell 100 shares of stock). The maximum gain you could obtain from this strategy is A. $12,000 O B. $1,000 OC. $11,000 O D. $120 QUESTION 16 A pension fund has an average duration of its liabilities equal to 10 years. The fund is looking at 4-year maturity zero- coupon bonds and 18-year maturity zero-coupon bonds to immunizo its interest rate risk. How much of its portfolio should it allocate to the 4-year zero-coupon bonds and 18-year maturity zero-coupon bonds to immunize if there are no other assets funding the plan? A. 57%, 43% B.52%, 48% C. 46%, 54% D.58%, 42%