1. An option strategy in which you hold a long position in both a put and a call option with the same strike price is called
A) portfolio insurance.
B) a strangle.
C) a straddle.
D) a butterfly spread.
2. A credit default swap is essentially a
A) call option on the firm's debt.
B)put option on the firm's debt.
C) call option on the firm's assets
D) put option on the firm's assets.