Which of the Following Statements Is/are True About Futures Contracts

question 14

Multiple Choice

Which of the following statements is/are true about futures contracts?
I.The buyer of the contract must take delivery of the underlying commodity.
II.To reverse a position, the buyer of a contract must sell an identical contract which is recognized as offsetting the other one.

• A)Only statement I is correct
• B)Only statement II is correct
• C)Both statements I and II are correct
• D)Neither statement I nor II is correct

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Definitions:

Stem Cells

Cells with the unique ability to develop into different types of cells in the body and to self-renew.

Simple Squamous Epithelial

A single layer of flat cells lining surfaces involved in diffusion and filtration, such as blood vessels and air sacs of the lungs.

Basement Membrane

A thin, fibrous layer that underlies and supports the epithelial tissue.

Blood Supply

Refers to the delivery of blood through the vascular system to the body's tissues, providing necessary nutrients and oxygen.