Hedging with Commodity Futures Contracts​

question 38

Multiple Choice

Hedging with commodity futures contracts​

• A) ​increases price fluctuations
• B) ​reduces the risk of loss from price fluctuations
• C) ​increases the potential return
• D) ​does not require margin delivery

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Definitions:

DSM-5

The fifth edition of the Diagnostic and Statistical Manual of Mental Disorders, a comprehensive classification of mental health conditions published by the American Psychiatric Association.

Restricting Type

A subtype of anorexia nervosa characterized by severe limitation of calorie intake without engaging in binge-eating or purging behavior.

Excessive Exercise

Physical activity that is beyond what is considered healthy or normally recommended, often leading to physical and psychological complications.

Body Dysmorphic

A mental disorder characterized by obsessive thinking about a perceived flaw in one's physical appearance.