Which One of the Following Is Not Correct Concerning Futures

question 6

Multiple Choice

Which one of the following is not correct concerning futures contracts?

• A) Futures contracts entail an obligation rather than an option.
• B) The contract price is set at the beginning of the contract.
• C) The contracts are exchange-traded.
• D) Gains and losses are not settled until the contract expires.

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Definitions:

Popular Democratic Thought

Ideas and theories concerning how democracy should be practiced by the general population.

Voter Turnout

The percentage of eligible voters who cast a ballot in an election, indicating the level of public participation in the democratic process.

Nonvoters

Individuals who are eligible to vote but choose not to participate in the electoral process.

Electoral College

A group of people (electors) designated to formally elect the President and Vice President of the United States based on the popular vote in each state.