Which of the Following Statements About the Margin Requirements on Commodities

question 81

Multiple Choice

Which of the following statements about the margin requirements on commodities contracts is NOT ?

• A)Use of margin is less common than trading with actual cash dollars
• B)They are generally much lower than those on stock transactions
• C)It is merely a good faith payment against losses
• D)All of the above are true

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Definitions:

Conservative Estimates

Estimates made cautiously to ensure that the actual value is not likely to exceed the estimated value.

Sample Statistics

Statistics calculated from a sample and used to estimate parameters of the total population.

Exclusive Range

A range of values that does not include the upper and lower bounds specified.

Scores

Quantitative measurements or evaluations used to reflect the performance, ability, or other attributes of an individual or entity.