What is your gain or loss on the put

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Reference no: EM131962960

Jump ahead to harvest-time. Assume you had purchased the $5.75 put for $0.81 in the spring.

The futures price is currently $7.72 and you sell your beans for $6.74/bu at the elevator. At the same time, you sell back your put if there is any value in it.

What is your gain or loss on the put, assuming that there is only intrinsic value left in the premium? Be sure to signify a negative number with a minus sign.

Reference no: EM131962960

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