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Dwight Believes That a New Phone to Be Sold by Ear

Question 55

Multiple Choice

Dwight believes that a new phone to be sold by Ear Sonic Corporation will become the most widely bought and used phone in the global market. Dwight enters into a contract to buy 500 shares of Ear Sonic stock, anticipating an increase in its value. If the price of the stock does not rise, Dwight can recover


A) nothing.
B) the amount of the purchase price.
C) the amount of the purchase price plus the expected increase.
D) the amount of the purchase price plus the unexpected decrease.

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