Which of the following is an example of hedging?
A) Mario stocks ice cream and hot chocolate in his shop so there will be sales in hot or cold weather.
B) Sissy eats vegetables and proteins to enhance her health.
C) Juan buys professional equipment to help ensure his success as a barber.
D) Gizelle buys stock in a tree farm to help provide clean air.
Correct Answer:
Verified
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
Q95: Which of the following is NOT an
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
Q101: Why do people make decisions with incomplete
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