Question: Note whether the following are ways to avoid losses through hedging or insuring: Lock in a $979.00 fare home for the holidays. (Hedging/Insuring) Purchase a

  1. Note whether the following are ways to avoid losses through hedging or insuring:
    1. Lock in a $979.00 fare home for the holidays. (Hedging/Insuring)
    2. Purchase a put option on a stock you do own. (Hedging/Insuring)
    3. Agree to purchase a house in one year for a fixed price of $200,000. (Hedging/Insuring)
    4. Lease a car with an option to purchase it in three years. (Hedging/Insuring)

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