Which One of the Following Statements Is Correct

question 32

Multiple Choice

Which one of the following statements is correct?

• A) An option seller makes more profits than an option buyer.
• B) A futures seller makes more profits than a futures buyer.
• C) The profit realized by the buyer of futures will be equal to the loss incurred by the seller.
• D) Both the buyer and the seller of a futures contract can earn a profit.

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Definitions:

Self-report Inventory

A personality assessment technique in which subjects answer questions about their behaviors and feelings.

Socially Desirable

Pertaining to behaviors or attitudes that are deemed acceptable and desirable by society, often influencing individuals to act in certain ways to gain social approval.

Test-taker

An individual who participates in an examination or assessment to evaluate their knowledge, skills, competencies, or physical condition.

Correlational Method

A statistical technique that measures the degree of the relationship between two variables, expressed by the correlation coefficient.