The Futures Is Less Than the Cash Price in A(n)

question 12

Multiple Choice

The futures is less than the cash price in a(n) _________ market.

• A) parity
• B) inverted
• C) basis
• D) arbitrage
• E) carrying-charge

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Definitions:

Non-Breaching Seller

A party in a contract that has not failed to fulfill any term of the agreement, in contrast to a breaching party who has failed to perform as promised.

Remedies

Remedies in legal terms refer to the means by which a right is enforced or the violation of a right is prevented, redressed, or compensated.

Essential Purpose

The main or critical reason for which something exists or is done, especially in a legal or contractual context.

Usage of Trade

A common practice or method of dealing recognized and accepted in a particular industry or trade.