In a Futures Contract, the Futures Price Is

question 85

Multiple Choice

In a futures contract, the futures price is

• A) determined by the buyer and the seller when the delivery of the commodity takes place.
• B) determined by the futures exchange.
• C) determined by the buyer and the seller when they initiate the contract.
• D) determined independently by the provider of the underlying asset.
• E) None of the options are correct.

---

Definitions:

Phenomenon

An observable event or fact, especially one that is not fully understood or that is out of the ordinary.

Behavioural Change

Modifications in individual actions or habits typically resulting from intervention or self-improvement efforts.

Previous Experience

Refers to the background or history an individual possesses in a specific domain, skill set, or activity before a current endeavor or analysis.

Observational Learning

A learning process through which behaviors are acquired by watching and imitating others.