Selling a Futures Contract May Be Appropriate for Someone Who

question 42

Multiple Choice

Selling a futures contract may be appropriate for someone who wishes to:

• A) lock in a future sales price.
• B) lock in a future purchase price.
• C) speculate that future spot prices are going up.
• D) have a ready market in which to sell a product.

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Definitions:

Nervous System

The network of nerve cells and fibers that transmits nerve impulses between parts of the body, essential for sensing, thinking, and controlling muscles.

Behavior

Observations of an individual's actions and reactions in various situations, often studied in psychology to understand the underlying mechanisms and influences.

Industrial-Organizational Psychology

The scientific study of human behavior in the workplace and applies psychological theories and principles to organizations and individuals within those organizations.

Personnel Management

The administrative discipline of hiring and developing employees so that they become more valuable to the organization.