Which of the Following Is True with Regards to Financial

question 5

Multiple Choice

Which of the following is true with regards to financial forward agreements?

• A)Financial forward agreements trade standardized quantities of financial instruments on specified dates in the future.
• B)Financial forward agreements can be used to hedge risk but not to speculate.
• C)Financial forward agreements in foreign exchange are arranged by large banks as a natural outgrowth of their foreign exchange operations.
• D)Financial forward agreements that hedge interest rate risks entail little costs because offsetting partners are easy to find.

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National Defense

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Patented Invention

A unique product or process that has been legally protected by a patent to give its inventor exclusive rights to use, make, or sell it for a certain period of time.

Tornado Siren

A warning system used in many communities to alert citizens about the imminent danger of a tornado.

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