On the Settlement Date of a Futures Contract

question 99

Multiple Choice

On the settlement date of a futures contract:

• A) the future's price is always above the price of the underlying asset.
• B) the future's price is always below the price of the underlying asset.
• C) the future's price is equal to the price of the underlying asset.
• D) the future's price may be above or below the price of the underlying asset but not equal to it.

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Definitions:

Iris

The colored part of the eye that controls the size of the pupil and, consequently, the amount of light that enters the eye.

Dilated Pupils

A condition where the pupils of the eyes are larger than normal, which can occur naturally in low light or be a sign of various medical conditions.

Fundus

The upper portion of an organ, especially the top of the stomach, or the part of the eye opposite to the pupil.

Body Mass Index (BMI)

A numerical computation that evaluates an individual's weight in relation to their height, used as an indicator of obesity and underweight.