Which of the Following Is an Example of an Opportunity

question 53

Multiple Choice

Which of the following is an example of an opportunity that has arisen from new uses for raw materials?

• A)the invention of the heart stent
• B)an American bank providing services in Canada
• C)raising chickens without using any antibiotics
• D)using the Internet to sell a product
• E)using corn to produce ethanol

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Definitions:

Put Option

A financial derivative that gives the holder the right, but not the obligation, to sell a specified amount of an underlying asset at a set price within a specified timeframe.

Call Option

A financial contract giving the buyer the right, but not the obligation, to buy a specified amount of an underlying asset at a predetermined price within a set timeframe.

Swap Contract

A financial agreement between two parties to exchange sequences of cash flows for a set period according to specified terms.

Option Contract

A contract that gives the holder the right, but not the obligation, to buy or sell an asset at a predetermined price within a specific time period.