When an Investor First Purchases or Sells a Futures Contract,she

question 29

Multiple Choice

When an investor first purchases or sells a futures contract,she must make a deposit to the exchange.This is called the:

• A)initial margin.
• B)variation margin.
• C)premium.
• D)open interest.
• E)margin call.

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Definitions:

Field Report

A detailed account of observations, activities, and findings gathered from research conducted in real-world settings.

Incident Report

A document that details an unexpected or unplanned event, especially one that causes harm or has the potential to cause harm.

Field Report

A detailed account or analysis based on observations and data collected from research conducted in a specific, real-world environment.

Status Report

A document that summarizes the current situation of a project, including progress, issues faced, and future projections.