Question: (7) Explain how a put option works. What are the rights and obligations of cach party to a put option contract? Are the rights and

(7) Explain how a put option works. What are the rights and obligations of cach party to a put option contract? Are the rights and obligations symmetric? Provide an example of a put option being used to insure against the risk of price movements in the underlying security (8) Compare the benefits and costs of buying a put option versus selling in the futures market when trying to protect against the risk of price changes in the underlying security

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