Use the Table Below to Answer the Following Questions

question 87

Multiple Choice

Use the table below to answer the following questions.
Table 27.1.1
The following table shows the relationship between consumption
expenditure (C) and disposable income (YD) for a hypothetical economy.

-Refer to Table 27.1.1. Based on the information in the table, saving would be $125 if YD were

• A)$1,000.
• B)$1,100.
• C)$1,200.
• D)$1,300.
• E)$900.

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Definitions:

European Option

Option that can be exercised only on the expiration date.

Expiration Date

The last day on which an option can be exercised.

Underlying Asset

The financial instrument (e.g., stock, bond, commodity) upon which a derivative's price is based.

American Put Option

A financial derivative that gives the holder the right to sell an asset at a specified price within a specified time.