An Investor Who Purchases a Put Option

question 10

Multiple Choice

An investor who purchases a put option:

• A) has the right to buy a given stock at a specified price during a designated time period.
• B) has the right to sell a given stock at a specified price during a designated time period.
• C) has the obligation to buy a given stock at a specified price during a designated time period.
• D) has the obligation to sell a given stock at a specified price during a designated time period.
• E) Nnone of the above.

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Definitions:

Citizens

Individuals who are legally recognized as members of a state or nation, with associated rights and responsibilities.

Representation

The act of speaking or acting on behalf of someone or the state of being represented, especially in a legislative body.

Political Reform

Actions aimed at improving or changing policies or procedures in political systems to rectify issues such as corruption, inefficiencies, or lack of representation.

Direct Democracy

A type of democracy where individuals directly participate in policy decisions without the need for representatives or middlemen.