General Mills bought September call options for wheat with an exercise price of $2.80 at a price of $0.10 per bushel.If the price of wheat at the expiration is $2.90, what is the cost of one bushel of wheat for General Mills?
A)$2.70
B)$2.80
C)$2.90
D)$3.00

Question

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The Answer of General Mills bought September call options for wheat with an exercise price of $2.80 at a price of $0.10 per bushel.If the price of wheat at the expiration is $2.90, what is the cost of one bushel of wheat for General Mills?
A)$2.70
B)$2.80
C)$2.90
D)$3.00

General Mills Bought September Call Options for Wheat with an Exercise