In Regards to a Futures Contract, Which of the Below

question 25

Multiple Choice

In regards to a futures contract, which of the below statements is FALSE?

• A) When entering into a futures contract, the parties to the contract agree to buy or sell a specific amount of a specific item at a specified future date.
• B) The price at which the parties agree to transact in the future is called the futures price.
• C) The designated date at which the parties must transact is called the settlement date or delivery date.
• D) When an investor takes a position in the market by buying a futures contract (or agreeing to buy at the future date), the investor is said to be in a short position or to be short futures.

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Definitions:

Criminal Offenses

Acts or actions that are considered illegal by law and are punishable by the judicial system.

Chinese Drinking Culture

The customs, practices, and social functions of consuming alcoholic beverages within Chinese society.

Drunkenness

A state of intoxication caused by the consumption of excess alcohol, impairing cognitive and physical functions.

Alcohol Abuse

the excessive or inappropriate consumption of alcohol that can lead to health problems, legal issues, and strained relationships.