If You Buy in February a Bond Future Contract for 120

question 95

Multiple Choice

If you buy in February a bond future contract for 120 that matures on June 30 of the same year, and at the maturity date the same future sells for 110, you have a ________ of $________.

• A) loss; 10000
• B) loss; 10
• C) profit; 10000
• D) profit; 10

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Definitions:

Feedback Control

A management function that involves observing and adjusting processes based on comparing actual outcomes to planned outcomes to ensure objectives are met.

Concurrent Control

A management process that involves monitoring and adjusting ongoing activities and processes to ensure they meet established standards.

Corrective Action

Measures taken to identify, eliminate, and prevent recurrence of undesirable performances or non-conformities in a process or system.

Feedback Control

A process where outputs are monitored and used to make adjustments to inputs or processes to achieve desired outcomes.