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Please help my answer the 2 MC questions. Thanks so much!! Use the figure to complete the sentence below. Profit ($) 20 15 10 5
Please help my answer the 2 MC questions. Thanks so much!!
Use the figure to complete the sentence below. Profit ($) 20 15 10 5 Strike Price 0 10 20 30 un A. long position in a put option at expiration. O B. long position in a call option before expiration. C. short position in a call option at expiration. D. long position in a call option at expiration. O E. short position in a put option at expiration. You are choosing between these four investments, and you want to be 95% certain that you do not lose more than 18.00% on your investment. Which investments could you choose? S&P TSX S&P 500 in CAD T-Bills Average Return Standard Deviation of Returns 10.32% 16.35% 12.10% 17.00% Long-Term Gov't of Canada Bonds 7.89% 10.20% 5.59% 3.93% Which of the following have the lower bound of the estimated range greater than 18.00%? A. All of the Investments B. Long-term Government of Canada Bonds and T-Bills C. Long-term Government of Canada Bonds and S&P 500 in CAD D. T-Bills only E. S&P TSX and S&P 500 in CADStep by Step Solution
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