Which of the Following Is a Property of a Forward

question 28

Multiple Choice

Which of the following is a property of a forward contract?

• A)In a forward contract cash is traded for immediate delivery.
• B)The buyer of a forward contract is "short" while the seller of the contract is "long".
• C)In a forward contract, the seller must own the commodity which is being traded.
• D)The value of future delivery depends on the market price of the commodity.

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Definitions:

Innate Features

Natural characteristics or traits that an individual or organism is born with, not acquired or learned.

Cosmic Dimension

A concept referring to the vastness and complexity of the universe, often considered in philosophical or spiritual contexts.

Age-Related Changes

Physical, cognitive, and emotional transformations that occur as a part of the aging process.

Fear of Death

Anxiety or dread related to the prospect of dying or the unknown aspects of what follows death.