Questions

Jeff Bezos is the richest person in modern history. The Amazon.com Inc. founder’s net worth broke $150 billion in New York on 16th July 2018 morning, according to the Bloomberg Billionaires Index.

That’s about $55 billion more than Microsoft Corp. co-founder Bill Gates, the world’s second-richest person.

Acute diabetes results in the formation of acetone in the body. Hence such patients smell of acetone.

In the OSI model of computer networking, a frame is the protocol data unit at the data link layer. Frames are the result of the final layer of encapsulation before the data is transmitted over the physical layer.

A single packet on a data link is known as Frame.

Hedging is a tool to minimize the risks. It is thus like an 'insurance' where one pays a premium but gets an assured amount in case of some uncertain event to the extent of the loss actually suffered on an equally opposite position for which the hedge was done. Thus, hedger is different from arbitrageur and speculators, as the intention here is not to maximize the profit but to minimize the loss.

E.g. In Capital Markets, suppose an investor has an equity portfolio of Rs. 2 lacs and the portfolio consists of all the major stocks of NIFTY. He thinks the market will improve in the long run but might go on a downside in the shortrun. NIFTY today stands at 4300. To minimize the risk of downfall, he enters into an option contract by buying NIFTY-PUT of strike 4300 at a premium of, say, Rs. 100. Thus, the actual amount paid is Rs. 5,000(lot size of NIFTY is 50). Also, the number of NIFTY-PUTs to be bought will vary on the beta of the portfolio so as to completely hedge the positon.