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Refer to the figure above. Using the DuPont method, return on assets (investment) for Megaframe Computer is approximately
Post Margins
The practice of depositing collateral to cover potential losses in trading accounts, especially in futures and options markets.
Naked Listed Options
Options contracts that are sold without owning the underlying asset, posing a higher risk due to the potential for unlimited losses.
Asian Option
A type of option where the payoff depends on the average price of the underlying asset over a certain period.
Underlying Asset
The underlying security that determines the value of a derivative, including equities, fixed income, raw materials, or foreign exchange.
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