Which of the Following Statements About the Put/call Ratio Is

question 9

Multiple Choice

Which of the following statements about the put/call ratio is most accurate?

• A) A negative ratio is bullish.
• B) Investors interpret a ratio greater than 1 to be a bearish indicator.
• C) Investors interpret a relatively low ratio to be a bearish indicator.
• D) Investors interpret a relatively high ratio to be a bearish indicator.

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Definitions:

Price of Gasoline

The cost per unit of gasoline, often influenced by oil prices, taxes, and supply-demand dynamics.

Marginal Revenue Product of Labor

The additional revenue generated by employing one more unit of labor, holding all other inputs constant.

Extra Revenue

Additional income generated through activities outside of a company's or individual's primary revenue stream.

Hiring Another Worker

The process of adding an additional employee to the workforce, typically in response to increased demand for a business's products or services.