(15 pts) Use the option quotes on corn futures in the following table to construct a...

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(15 pts) Use the option quotes on corn futures in the following table to construct a synthetic long futures position using a call and a put with the same strike price of 385 cents/bu. Strike price (cents/bu) 385 395 405 Call premium (cents/bu) 16.67 14.50 10.08 Put premium (cents/bu) 6.75 14.50 20.00 (1) (5 pts) Fill in the profits/losses of the long call and short put for given futures prices (Fr) at expiration. FT > 385 T FT < 385 T Call Put (2) (5 pts) Fill in the combined profits/losses of the synthetic long futures position for given futures prices. Synthetic Long Futures FT > 385 FT < 385 T (3) (5 pts) Graph the profit diagram of the synthetic long futures position and indicate the synthetic futures price. (15 pts) Use the option quotes on corn futures in the following table to construct a synthetic long futures position using a call and a put with the same strike price of 385 cents/bu. Strike price (cents/bu) 385 395 405 Call premium (cents/bu) 16.67 14.50 10.08 Put premium (cents/bu) 6.75 14.50 20.00 (1) (5 pts) Fill in the profits/losses of the long call and short put for given futures prices (Fr) at expiration. FT > 385 T FT < 385 T Call Put (2) (5 pts) Fill in the combined profits/losses of the synthetic long futures position for given futures prices. Synthetic Long Futures FT > 385 FT < 385 T (3) (5 pts) Graph the profit diagram of the synthetic long futures position and indicate the synthetic futures price.