Which of the Following Is a Good Strategy to Adopt

question 94

Multiple Choice

Which of the following is a good strategy to adopt when interest rates are expected to rise?

• A)Buying a call option on a bond.
• B)Writing a call option on a bond.
• C)Writing a put option on a bond.
• D)Buying bond futures.
• E)All of the options.

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Definitions:

Solid Food

Food that is firm to the touch and requires chewing, as opposed to liquid food.

Mashed Foods

Foods that have been crushed or ground into a soft, smooth consistency, commonly prepared for infants or individuals with difficulty chewing.

Bananas

A type of fruit that is elongated and curved, with soft flesh rich in starch covered by a rind, which may be green, yellow, or brown when ripe.

Peas

Small green seeds or the seed-pods of the Pisum sativum plant, commonly eaten as a vegetable.