Derivative instruments include:
A)stocks.
B)preferred stocks.
C)stock options.
D)all the above.

Name: Derivative instruments include: A)stocks. B)preferred stocks. C)stock options. D)all the above.
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Question

Quizplus · Accepted Answer

Derivative instruments refer to financial contracts whose value depends on the value of underlying assets. Stocks and preferred stocks are not derivative instruments, but stock options are. Therefore, choice C is the only correct answer.

Derivative Instruments Include