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: B ≤ C < E; B ≥ G < H; G > I ≥ L
Conclusions:
I. G ≤ C
II. H ≥ L
III. G > E
Statement: E < F ≤ G = H, I ≥ G ≤ J ≤ K
Conclusion: I. K > E II. H > K
Statement: C < P > T = E < R; G > R > A < D
Conclusions:
I. T < G
II. G ≥ P
III. T > A
Statements: D = E ≥ F; G > H > D; D > J = I = K
Conclusions:
I. K > D
II. F < G
III. K < H
Statements: P % Q, P $ R, Q # S, R @ T
Conclusions:
I. R $ Q
II. S & T �...
Which of the following expressions will be true if the given expression ′S > T ≥ U < V < W′ is definitely true?
Statements: O @ G % N & A @ I % P; V $ U & Q # A
Conclusions:
I. N @ U
II. G % V
III. V # I
Statement: J > K ≥ C = D ≤ Y < Z
Conclusions:
I. Z > C
II. J ≥ Y
III. J > D
IV. C > Z
...In the question, assuming the given statements to be true, Find which of the conclusion (s) among given three conclusions is /are definitely true and t...
Which one the following symbols should replace the question mark in the given expression, in order to make the expressions L ≤ I as well as N > K ...
