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Jennifer Expects the Price of a Share to Decrease Over

Question 17

Multiple Choice

Jennifer expects the price of a share to decrease over the next month. Which one of the following strategies would allow Jennifer to earn a profit if the expected decrease actually occurs?


A) Take a long position in the share today.
B) Buy the share on margin today.
C) Take a long position in the share one month from today.
D) Sell the stock share today.

Correct Answer:

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