Question: Put Jun 550 Q1 (20 marks) Price Call Call Call Put Put Apr May Jun Apr May 540 16.70 17.40 17.70 .80 .80 -90 9.10
Put Jun 550 Q1 (20 marks) Price Call Call Call Put Put Apr May Jun Apr May 540 16.70 17.40 17.70 .80 .80 -90 9.10 9.90 10.20 5.10 5.30 5.40 1)Alpha company is supposed to deliver 200 ounces of gold to the market in April. The company needs to hedge the position at the 550 exercise price. How much will the company receive in total, including the option premium, for the 200 ounces of gold if the market price of gold is $552 in April? (Gold - 100 troy oz.; $ per troy oz.) Answer: 2)What position has been taken by the company? When would the company have a loss/gain
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