Which of the following is NOT an example of hedging?
A) Employees buy stock in the company that employs them in case dividends are needed.
B) People gain computer skills in case robots replace workers.
C) College seniors apply to graduate school in case they don't find a job.
D) People stock up on nonperishables in case inflation occurs.
Correct Answer:
Verified
Q90: Most insurance:
A)is designed to earn a profit
Q91: Which of the following is NOT a
Q92: Which of the following is not equivalent
Q93: To hedge is to:
A)acquire an offsetting risk.
B)prevent
Q94: When you acquire an offsetting risk, you
Q96: Which of the following is an example
Q97: Which of the following would NOT reduce
Q98: _ reduces risk.
A)Wealth
B)Time
C)Information
D)Uncertainty
Q99: The more _ you have about something,
Q100: Many risks are due to:
A)too much diversification.
B)spreading
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