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NEW QUESTION: 1
A. Option B
B. Option A
Answer: B
NEW QUESTION: 2
The following are value types in Solidity.
A. Integer, Boolean, Enum and Addresses.
B. Integer, Boolean, Struct, Mapping and Enum.
C. Integer, Boolean, Structs and Fixed Point Numbers.
Answer: A
NEW QUESTION: 3
The effectiveness of a hedge is determined by which of the following expressions, where x,y is the correlation between the asset being hedged and the hedge position:
A)
B)
C)
D)
A. Option C
B. Option D
C. Option A
D. Option B
Answer: A
Explanation:
Explanation
The effectiveness of the hedge is solely determined by the correlation between the position being hedged, and the position being used as the hedge. A hedge can be perfect when correlation is 1, and will be less than perfect when it is anything other than 1.The effectiveness of the optimal hedge is given by the formula (1-2), where is the correlation between the two. Therefore Choice 'c' is the correct answer. Standard deviations affect the hedge ratio, not the effectiveness of the hedge.
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