Which of the Following Is Incorrect About Futures Margin

question 64

Multiple Choice

Which of the following is incorrect about futures margin?

• A) In a futures margin account, the initial margin is always higher than the maintenance margin.
• B) The margin on a futures account is verified daily to ensure minimum margin requirements are met.
• C) The initial margin for a futures transaction is the same for a long and a short position.
• D) All margin initially deposited in a futures purchase must always remain until the position is closed or the contract expires.
• E) The initial margin requirements for futures contracts differ for each different contract.

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Definitions:

Bronchophony

An abnormal increase in the clarity of transmitted voice sounds heard when auscultating the lungs, indicative of lung pathology.

Auscultation

The act of listening to the sounds of the body, typically using a stethoscope, as part of a medical examination to assess the condition of the heart, lungs, or other organs.

Unequal Chest Expansion

A condition where one side of the chest expands less than the other during breathing, often indicating underlying respiratory or musculoskeletal disorders.

Intercostal Spaces

The anatomical spaces between the ribs that contain muscles, nerves, and blood vessels, important in respiration.