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If You Express a Firm in Terms of Put Options,the

Question 49

Multiple Choice

If you express a firm in terms of put options,the


A) current value of the firm is the exercise price.
B) option will always be in the money.
C) stockholders will be considered as the firm's owners.
D) bondholders determine whether or not the option will be exercised.
E) bondholders are the buyers of the put.

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