To create a synthetic cash position:
a. buy the common equity, sell short the corresponding futures contract, invest in a T-bill.
B. buy the common equity and sell short the corresponding futures contract.
C. sell short the common equity, buy the corresponding futures contract, invest in a T-bill.
Choice B is correct. Security - Futures = Cash, therefore, buy the common equity and sell short the corresponding futures contract.
老师可以逐个解释一下这几个选项和其所达到的效果吗?谢谢!