In a put options contract, the
A) seller has the obligation to receive the instrument at a specified time.
B) buyer has the obligation to deliver the instrument at a specified time.
C) buyer has the obligation to receive the instrument at a specified time.
D) seller has the obligation to deliver the instrument at a specified time.
Question 2
If the Fed sells securities worth 10 million to a commercial bank, the Fed's balance sheet will show
A) an increase in securities held of 10 million and an increase in bank reserves of 10 million.
B) an increase in securities held of 10 million and a decrease in bank reserves of 10 million.
C) a decrease in securities held of 10 million and an increase in bank reserves of 10 million.
D) a decrease in securities held of 10 million and a decrease in bank reserves of 10 million.
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