Suppose That You Implement Your Hedge from the Last Question $\le$

question 42

Multiple Choice

Suppose that you implement your hedge from the last question at F₁($/ $\le$ ) = $2/ $\le$ .Your cash flows in state 1,2,and 3 respectively will be

• A)$5,100, $5,000, $5,100.
• B)$5,100, $5,100, $5,100.
• C)$5,000, $5,000, $5,000.
• D)none of the above

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