Refer to Table 23.2 in the text to answer this question. 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. What is the total cost? Suppose the price of corn futures is $3.61 per bushel at expiration of the option contract. What is your net profit or loss from this position? What if corn futures prices are $3.97 per bushel at expiration?

Table 23.2

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Prior HI/ Low Settie Undernying Future Charts Last Change Limit Updated High Low Volume 4070/ 16:38 37 CT 122909 May 2017 381'4 +42 3772 3826 3760 10 Feb 2017 3570 Type: American Options Expiration: May 2017 Strike Range: At The Money Calls Puts HI/ HI/ strike Low Prior Prior Low Updated Updated Limit Volume Settie Change Last Price Last Change Settie High Volume Limit High Low LOw 16:38 02 16:38 57 No Limit/ 00 No ст ст 237 227 360.0 231 274 40 267 51 55 50 53 591 Limit/ 10 Feb 2017 10 Feb 2017 16:38 37 16:38 54 No ст ст 2 235 Limit/ 235 19'5 +40 23'5 365.0 67 73 63 70 676 Limit/ 10 Feb 10 Feb 2017 2017 16:38 47 16:38 06 No No ст ст Limit/ 00 702 205 166 197 370.0 86 94 81 97 917 Limit/ 191 10 Feb 10 Feb 00 2017 2017 16:38 06 ст 3.949 Limit/ 16:38 40 No No ст Limt/ 357 171 163 14'1 171 375.0 103 -1'4 117 103 107 10 Feb 10 Feb 00 2017 2017 16:3824 16:38 37 No No ст ст Limit/ 00 123 145 924 150 117 150 380.0 127 -re 126 141 1,095 Limit/ 10 Feb 10 Feb 00 2017 2017 16:39.07 16:38 09 No ст ст O Limit/ Limt/ 44 125 120 97 +26 125 385.0 175 10 Feb 10 Feb 00 2017 2017 16:38 47 16:38:47 No No ст ст 496 110 Limit/ 84 81 +24 105 390.0 191 207 186 200 183 Limit/ 10 Feb 10 Feb 00 00 2017 2017 16:38 28 ст O Limit/ 16:38 25 No No ст Limit/ 53 83 77 66 1'5 83 395.0 243 10 Feb 10 Feb 2017 2017 16:3841 16:38 48 No No ст ст Limt/ 230 75 56 54 +21 75 400.0 282 11 Limit/ 10 Feb 10 Feb 00 00 2017 2017 16:38 47 16:39:00 No No ст ст O Limit/ Limt/ 185 57 55 4'4 +13 57 405.0 322 10 Feb 10 Feb 00 2017 2017 ? About This Report я18