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Question
An FI has assets of $800 million and liabilities of $740 million.
If the FI bought call options on bonds with a face value of $50 million, what is the minimum amount of the stockholder's potential true net worth?
A. $10 million.
B. $70 million.
C. $110 million.
D. $790 million.
E. $850 million.
Answer
This answer is hidden. It contains 280 characters.
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