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muminat
1 year ago
10

The buyer of a put expects the price of the underlying stock to rise. a. true b. false

Business
1 answer:
hoa [83]1 year ago
6 0

The buyer of a put expects the price of the underlying stock to rise is a. true

<h3>What does buying a put mean?</h3>
  • Short selling and put options are fundamentally negative methods used to speculate on the underlying securities or index's possible decline.
  • Short selling and buying put options are both bearish techniques that increase in profitability when the market falls.
  • Short selling is selling a security that the seller does not own but borrows and then sells in the market, with the possibility for substantial losses if the market rises.
  • Purchasing a put option grants the buyer the right to sell the underlying asset at the price specified in the option, with the maximum loss being the option premium paid.

learn more about buying a put refer:

brainly.com/question/17164648

#SPJ4

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Answer:

Option 1 - the opportunity cost of leisure decreases as wages decrease.

Explanation:

The labour supply curve of any occupation will always be upward sloping because when wages, (the opportunity cost of leisure) rises, the more hours of leisure a staff will relinquish to do more work.  

The opposite of this is true as seen in option 1 of the question.

Opportunity costs will reduce with a consequent reduction in average wages. When fewer people want to retain their employment due to decrease in wage rates, it would lead to a fall in demand for leisure.  

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3 years ago
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Answer:

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3 years ago
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Answer:

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Answer:

Economic models often vary greatly in assumptions and simplifications.

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