The Effect of Marking a Futures Contract to Market Is

question 96

Multiple Choice

The effect of marking a futures contract to market is similar to:

• A) requiring daily payments from the contract buyer.
• B) requiring daily payments from the contract seller.
• C) closing the current position and opening a new position daily.
• D)imposing a daily fee on both buyers and sellers.

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Definitions:

Conversion Disorder

A disorder in which bodily symptoms affect voluntary motor and sensory functions, but the symptoms are inconsistent with known medical diseases.

Somatic Symptom Disorder

A mental disorder characterized by an excessive focus on physical symptoms — like pain or fatigue — that causes significant emotional distress and problems functioning.

Type A

Refers to a personality type characterized by high competitiveness, self-imposed stress, and a sense of urgency.

Type B

A personality type characterized by a relaxed, less competitive approach and lower levels of stress.