Which of the Following Futures Contract Holders Is Speculating

question 90

Multiple Choice

Which of the following futures contract holders is speculating?

• A) A wheat farmer who sells wheat futures
• B) A cattle rancher who buys live cattle futures
• C) A candy maker who buys sugar futures
• D) An oil producer who sells crude oil futures

---

Definitions:

Inventory

The total amount of goods or materials held by a business, intended for sale or used in production.

GDP

Sum total of the monetary or market valuation of all end-stage goods and services manufactured within a nation's boundaries during a predetermined period is known as the Gross Domestic Product.

IBM

A multinational technology and consulting company known for its hardware, software, and services in computing.

Corporation

A legal entity separated from its owners, providing limited liability protection, and capable of owning property, entering contracts, and being sued.