The price of a bond rises from 98 to par. Even if you do nothing,...

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Accounting

The price of a bond rises from 98 to par. Even if you do nothing, this would still result in an immediately recognized gain on a _____________ on a bond, and a paper gain on a bond ______________.

Multiple Choice

  • long forward contract; call option

  • short futures contract; call option

  • call option; put option

  • short futures contract; put option

  • long futures contract; call option

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