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David Wesley uses a protective put strategy. He owns the share with a current price of $20 and he buys a put with an exerche

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David Wesley uses a protective put strategy. He owns the share with a current price of $20 and he buys a put with an exerche price, X - $17 and put premiurn, P-$5. Which of the following is TRUE about his strategy? 1. The put provides dowreide protection from the stock price declines. 1. The cost of the put premium reduces the profit on the trade, O only Neither or Olloh

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