Question: 1. In the lecture, discuss basic risk management from the producer's perspective. In this problem, discuss the basic risk management from the buyer's perspective .

1. In the lecture, discuss basic risk management from the producer's perspective. In this problem, discuss the basic risk management from the buyer's perspective . denote the price of gold be x. Suppose for the buyer the profit function from the gold itself is : 460-X. Now, if besides the gold, the buyer buy a call k= 420, the premium C = 8.77 and 57 option with re 2 Write down the payoff function, profit function, and drow a profit diagram for this strategy ( Gold

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