You Own a 6-Month Futures Contract on U

question 6

Multiple Choice

You own a 6-month futures contract on U.S. Treasury notes. The underlying notes have a duration of 3.87 years. What is the duration of the futures contract?

• A)3.37 years
• B)3.67 years
• C)3.87 years
• D)4.12 years
• E)4.37 years

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Definitions:

Phallic Stage

A phase in Freudian psychosexual development, occurring around ages 3 to 6, where children's pleasure centers on the genital area.

Psychosexual Stages

A Freudian theory that describes five stages of child development (oral, anal, phallic, latency, genital), each characterized by pleasure seeking from different body areas.

Vague Predictions

Statements about the future that lack specificity, making them difficult to verify or falsify due to their broad or ambiguous nature.

Frustrated Development

A situation in which a person's growth or progress is hindered or stopped due to external or internal obstacles.