The Advantage That Standardisation of Futures Contracts Brings Is That

question 11

Multiple Choice

The advantage that standardisation of futures contracts brings is that ________ is improved because ________.

• A)liquidity; all traders must trade a small set of identical contracts
• B)credit risk; all traders understand the risk of the contracts
• C)pricing; convergence is more likely to take place with fewer contracts
• D)trading cost; trading volume is reduced

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Definitions:

Genetic Mutations

Permanent alterations in the DNA sequence that makes up a gene, which can result in variations in physical traits and health conditions.

Defective Alleles

Variant forms of a gene that may cause a malfunction or absence of the gene's normal function.

Genetic

Relating to genes or heredity, encompassing the study of how traits and characteristics are transmitted from parents to offspring.

Down Syndrome

A genetic disorder caused by the presence of all or part of a third copy of chromosome 21, resulting in a distinctive set of physical and intellectual traits.