Derivatives Can Be Used to Either Hedge or Speculate

question 17

Multiple Choice

Derivatives can be used to either hedge or speculate. These actions:

• A) increase risk in both cases.
• B) decrease risk in both cases.
• C) spread or minimize risk in both cases.
• D) offset risk by hedging and increase risk by speculating.
• E) offset risks by speculating and increase risk by hedging.

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Definitions:

Input Devices

Input devices are peripherals used to provide data and control signals to a computer, such as keyboards, mice, and scanners.

Digitizer

A device or software that converts analog information into digital form, often used in the context of touchscreens and drawing tablets to interpret touch or stylus input.

Calibrate

The process of adjusting the performance of a device, often to align it with a specific standard, ensuring accuracy and efficiency.

Virtualization Support

A BIOS/UEFI option to enable or disable the capability of the computer to be used in a virtualization environment where more than one operating system can share the same hardware resources.