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Which of the Following Theories Is Most Closely Related to Needs

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Which of the following theories is most closely related to Needs Theory?


Definitions:

Call Option

A financial contract giving the buyer the right, but not the obligation, to buy an asset at a specified price within a particular time period.

Out-Of-The-Money

A term used to describe an option contract that would not result in a profit if exercised at the current market level.

Convertible Bond

A type of bond that can be converted into a predetermined amount of the company's equity, usually at the option of the bondholder.

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