Question

in which one of the following types of contract between a seller and a buyer does...

in which one of the following types of contract between a seller and a buyer does the seller agree to sell a specified asset to the buyer today and then buy it back at a specified time in the future at an agreed future price.

a) repurchase agreement . C) swap d) call e) none of the above

Organized options markets are different from over- the counter options markets for all of the following reasons except

a) legal contracts c) regulation d) standardized contracts e) credit risk

An investor who owns a class option can close out the position by any of the following types of transactions except

a) exercise b)offset c)buying a put d) none of the above

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Answer #1

1.
In repurchase agreement or repo does the seller agree to sell a specified asset to the buyer today and then buy it back at a specified time in the future at an agreed future price.

2.
credit risk because organized options have lesser or no credit risk

3.
buying a put wont close out the position

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