Futures Contracts Are Best Described by Which of the Following

question 37

Multiple Choice

Futures contracts are best described by which of the following?

• A) They are a way to buy common shares on a margin.
• B) They appeal to investors because they are sure providers of retirement income.
• C) They do not pay dividends.
• D) They are good investments for risk-averse investors.

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Definitions:

Idiosyncrasy Credits

The leeway or tolerance granted to individuals for deviating from group norms due to their previously established competence or contributions.

Followership

The behaviors and attitudes of individuals who follow and support their leaders, highlighting the importance of active and effective participation in a leadership context.

Implicit Followership Theories

Individual beliefs or assumptions about the traits and behaviors that characterize followers, affecting leadership interaction and expectations.

Power Distance Orientation

A cultural dimension that describes the extent to which less powerful members of organizations and institutions accept and expect power to be distributed unequally.