Which of the Following Statements Is Incorrect Regarding Organized Futures

question 5

Multiple Choice

Which of the following statements is incorrect regarding organized futures exchanges?

• A)Organized exchanges establish and enforce rules for the trading of financial futures contracts.
• B)Organized exchanges serve as market makers for futures contracts by taking positions in futures.
• C)Organized exchanges clear, settle, and guarantee all transactions that occur on their exchanges.
• D)The operations of financial futures exchanges are regulated by the Commodity Futures Trading Commission (CFTC).
• E)All of the above are correct.

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Definitions:

Consumer Packaged Goods

Products that are sold in packaged form to consumers, typically involving items that are consumed daily and purchased frequently.

Push And Pull Systems

Supply chain strategies where "push" involves production based on forecasted demand and "pull" relies on actual demand signals for production.

Inventory Management System

A technology-based approach that tracks inventory levels, orders, sales, and deliveries to ensure that the right product is available at the right time.