If the Market for Corn Futures Has More Prospective Sellers

question 26

Multiple Choice

If the market for corn futures has more prospective sellers than buyers, then one would expect:

• A) the price of corn futures to decrease.
• B) the price of corn futures to increase.
• C) some traders to change from seller to buyer.
• D)the market to cease operations until demand is rebalanced.

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Definitions:

Optimal Way

The most efficient or effective method for achieving a specific goal or outcome.

Serious Cash Shortage

A financial situation where an entity lacks sufficient funds to cover its immediate or short-term obligations, leading to potential liquidity issues.

Venture

An undertaking that is typically risky but offers the potential for significant rewards, often associated with new businesses or startups.

Capital

Wealth in the form of money or other assets owned by a person or organization or available for purposes such as starting a company or investing.