[Solved] While the law of one price relates prices on individual goods to the exchange rate, the theory of PPP relates: A) the relative price level of a basket of goods to the exchange rate. B) prices of individual goods to consumer demand. C) exchange rates to interest rates. D) goods markets to the market for services. Convertible Bonds: Debt securities that offer the holder the right to exchange them for a fixed number of shares of the issuing company, usually at a specified time. Naked Put: An options strategy where the investor sells put options without holding the underlying security, exposing them to potentially unlimited losses. Expected Dollar Profit: The forecasted amount of money that an investment is likely to earn in dollars. Major Drop: A significant decline in the price or value of an asset or stock within a short period of time.