1. The purchaser of a put A. has the obligation to exercise the option B. makes a profit regardless of the outcome of the underlying C. is betting the price of the underlying security will go down D. will pay the premium whether or not the option is exercised E. both C and D 2. The____-- A. option broker B. option holder C. option seller D. option buyer 3. Buying a naked put A. is hedging B. is speculating C. is a contra investment strategy D. is a riskless strategy gets to keep the option premium