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Zaki is interested in buying put options because he believes that systematic factors will result in substantial decrease in stock prices. To maximize his profit

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Zaki is interested in buying put options because he believes that systematic factors will result in substantial decrease in stock prices. To maximize his profit he should: use the futures market instead of options buy put options in stocks that are most effected by the COVID 19 Its indifferent to what put options he buys, he will make the same amount of money because the stocks will decrease the same % Buy put options in the most volatile stocks

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Question 7 10 points Save Areover Zaki is interested in buying put options because he believes that systematic factors will result in substantial decrease in stock prices. To maximize his profit be should: use the futures market instead of options buy put options in stocks that are most effected by the COVID 19 It's indifferent to what put options he buys, he will make the same amount of money because the stocks will decrease the same % Buy put options in the most volatile stocks Question 8 Sanjeev is short selling stock ABC company. He wants to use the options market to help reduce his risk. He should Write put options for the ABC company Stock Buy Put options for the ABC Company stock Write call options for the ABC Stock None of the above result in hedging his risk. Question 9 The future market helps the overall economy by: Allowing companies to hedge against foreign exchange risk help controlling demand pull inflation, by allowing businesses to stable pricing Helping firms manage their credit risk none of the above. Question 10 10 points Save Answer Tammy's cold cuts makes is a local producer of Turkey sausage and hotdogs. All of her but business is transal ed using cash in Canadian dollars, product is only ordered and prepared on demand at custom pricing Tammy h ever had to borrow funds from a bank for her business. What financial risks impact her business? the only risk is the commodity risk on raw materials mainly Turkey meat Inflation in the Canadian market resulting in lower margins Commodity. Credit and Foreign Exchange Risk None of the above

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