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Jennifer Expects the Price of a Stock to Decrease Over

Question 58

Multiple Choice

Jennifer expects the price of a stock to decrease over the next month.Which one of the following strategies would allow Jennifer to earn a profit if the expected decrease actually occurs?


A) take a long position in the stock today
B) sell the stock short today
C) buy the stock on margin today
D) take a long position in the stock one month from today

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