Which One of the Following Takes the Shape of a Bell

question 28

Multiple Choice

Which one of the following takes the shape of a bell curve?

• A) frequency distribution
• B) variance
• C) risk premium graph
• D) standard deviation
• E) deviation of returns

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Definitions:

Forward Contract

A financial derivative instrument between two parties to buy or sell an asset at a specified future time at a price agreed upon today.

Settlement Date

The date on which a trade is finalized and the buyer must make payment and the seller deliver the asset.

Forward Rate

Refers to the agreed exchange rate for a currency transaction that will occur at a future date.

Exchange Gain

A profit resulting from holding foreign currencies that appreciate against the home currency.