Suppose you purchase the June 2014 call option on corn futures with a strike price of $4.90 at the last price of the day. Use Table 23.2
How much does your option cost per bushel of corn? (Do not round intermediate calculations. Round your answer to 5 decimal places, e.g., 32.16161.)
Option cost $ per bushel
What is the total cost of your position? Assume each contract is for 5,000 bushels. (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
Total cost $
Suppose the price of corn is $4.84 per bushel at expiration of the option contract. What is your net profit or loss from this position? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16. Enter your answer as a positive value.)
LossProfit $
What is your net profit or loss if corn futures prices are $5.19 per bushel at expiration? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16. Enter your answeras a positive value.)
LossProfit $