How Is a Futures Contract on the S&P 500 Settled

question 71

Multiple Choice

How is a futures contract on the S&P 500 settled?

• A) cash
• B) shares of stock selected by the contract buyer
• C) shares of stock selected by the contract seller
• D) shares of stock equivalent to those in the index
• E) delivery of a Treasury bill equal in value to the settlement amount

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