Question
Derivatives can be used to hedge the risk. A person can
protect himself from downside risk by entering into which of the following position?Solution
 Buying a stock and put option on that will give protection against the downside  risk. If the price of the stock falls to even zero then the put option can be exercised and amount equivalent to exercise price can be recovered (against the payment of premium). If the price of the stock rises then put will simply expire worthless (against a payment of premium).
Statements: Some lands are sea.
Some breeze are lands.
Some lands are water.
Conclusions:I . Some breeze being water is a possib...
In the questions given below there are three statements followed by three conclusions I, II and III. You have to take the given three statements to be ...
Statements:
All pearls are diamonds.
All diamonds are gold
All gold are silvers.               Â
Statements: Some earth are moon.
                Some moon are sun.
Conclusions: I. Some earth are sun.
   ...
Statements : All squares are circles.
No circle is a tangent.
Some tangents are perpendiculars.
Conclusions : I. Some perp...
Statements:Â
Only a few Classmate are Navneet.
Only a few Navneet are Luxor.
All Luxor are Unigo.
Some Luxor are not Caml...
Statement:
Each tiger is a lion.
Only a few lion are dogs.
Some dogs are cats
Conclusion:
  1. All lions are tiger...
Statements:
Only a few Cloud are Rain.
Some Rain are Rainbow.
Only Rainbow are Sky .
No rain is a Universe.
Conclusio...
In the following question below are given some statements followed by some conclusions based on those statements. Taking the given statements to be tr...
In the question below two statements are given fol lowed by three conclusions I and I I. You have to take the given statements to be true even if they ...