Suppose Your Portfolio Consists of One Share of Goldman Sachs

question 2

Multiple Choice

Suppose your portfolio consists of one share of Goldman Sachs (GS) and a European put option on GS with a strike of $105 and a maturity of a year. At maturity, the value of your portfolio must be

• A) Equal to or less than $105
• B) Equal to $105
• C) Equal to or greater than $105
• D) None of the above

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Definitions:

Leachate

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Energy Use

The consumption of energy resources by households, industries, and other sectors of an economy.

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An increase in contaminants or harmful substances in the environment, leading to degraded air, water, or soil quality.

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A material derived from trees that is the primary ingredient in paper production, obtained through mechanical or chemical processing.