Puts Are

question 1

Multiple Choice

Puts are:

• A) purchased when the futures price is expected to decrease
• B) purchased when the futures price is expected to increase
• C) purchased when the futures price is expected to remain constant
• D) none of the above

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Definitions:

Concrete

A building material made from a mixture of broken stone or gravel, sand, cement, and water, which can be spread or poured into molds and forms a stone-like mass on hardening.

Precise

Marked by exactness and accuracy of expression or detail.

Connotative

Relating to the implied or suggested meanings associated with a word or phrase, beyond its literal definition.

Active Voice

A sentence structure where the subject performs the action expressed by the verb, making the writing more direct and dynamic.