Wira Steel Industries had just announced the resignation of its CEO following another year of record losses.
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- Wira Steel Industries had just announced the resignation of its CEO following another year of record losses. Just yesterday you had sold shorted the stocks at RM You think the stock price is likely to fall substantially more. You begin to get worried though you still think you did the right thing in shorting the stock. You wish to protect yourself from a "turnaround" in the stock price. Available in the market are call options at a premium of RM What would you do to hedge this short stock position so that your maximum loss is only the premium?
Related Book For
Intermediate Accounting
ISBN: 978-0077400163
6th edition
Authors: J. David Spiceland, James Sepe, Mark Nelson
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