Question: A wheat producer and a bread maker could enter the derivatives markets to hedge their positions. What would be the likely position for each of
A wheat producer and a bread maker could enter the derivatives markets to hedge their positions. What would be the likely position for each of them to take in the derivatives market? Group of answer choices
Farmer - Long forward Bread maker - Short forward
Farmer - Short forward Bread maker - Long forward
Farmer - Buy a call Bread maker - Buy a put
Farmer - Buy a call Bread maker - Buy a call
Farmer - Buy a put Bread maker - Buy a put
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