Which of the Following Is Not a Financial Derivative

question 60

Multiple Choice

Which of the following is not a financial derivative?

• A) Stock
• B) Futures
• C) Options
• D) Forward contracts

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Definitions:

Statute of Frauds

A rule of law that mandates specific kinds of agreements must be documented and signed by the involved parties to be legally binding.

Signed

A document or agreement that has been autographed by one or more individuals, indicating acceptance or confirmation of its contents.

Partially Integrated Contract

A written contract that contains some, but not all, of the terms agreed upon by the parties, indicating that other terms or agreements must be established separately or are understood orally.

Ambiguities

Unclear or indeterminate areas within a text or statement that can lead to multiple interpretations.