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116.Explain whether the following is a fair comment."The farmer does not avoid risk by selling grain futures.If grain prices stay above a certain rate, then the farmer will actually have lost money by selling grain at a specified price.
Agreement in Principle
An initial acceptance indicating a preliminary agreement before the details are finalized.
Binding Contract
An agreement between two or more parties that is legally enforceable in a court of law.
Verbal
Pertaining to words or spoken communication, often used in the context of agreements or contracts.
Written Contract
A formal agreement between two or more parties that is fully documented and signed, outlining specific obligations and terms.
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