The Dollar Value of the Outstanding Futures Position Depends on The

question 49

Multiple Choice

The dollar value of the outstanding futures position depends on the:

• A)number of contracts bought and sold and the price of each contract
• B)cash exposure ratio
• C)number of contracts bought and sold and the change in interest rates
• D)contracts that should be sold per dollar of cash exposure

Recognize the importance and usage of exploratory and confirmatory factor analysis in scale development.

Acknowledge the significance of including both positively and negatively worded items in scale construction for balanced measurement.

Realize the importance of validation techniques such as item analysis, content analysis, and expert consultation.

Understand the role of validity (convergent, discriminant, empirical) in the context of scale development and the methods for establishing it.

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Definitions:

Average Operating Assets

The average value of assets used in the production or operation of a company over a specific period.

Sales

The total amount of revenue generated by the sale of goods or services.

Unit Variable Cost

The variable cost incurred to produce one unit of a product, including materials, labor, and variable overhead.