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Paying Off a Firm's Debt Is Comparable to ________ on the Assets

Question 57

Multiple Choice

Paying off a firm's debt is comparable to ________ on the assets of the firm.


A) purchasing a put option
B) purchasing a call option
C) exercising an in-the-money put option
D) exercising an in-the-money call option
E) writing a put option

Correct Answer:

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