Options Are More Useful Than Forwards and Futures Because Options

question 42

Multiple Choice

Options are more useful than forwards and futures because options:

• A)are traded in more markets.
• B)are obtained at a lower cost than forwards and futures.
• C)allow a party to elect not to go through with a transaction that will cause the party a loss.
• D)are easier to value than forwards and futures.

---

Definitions:

Plantation Owners

Individuals who owned large estates primarily in the Southern United States, where cash crops like cotton and tobacco were farmed by enslaved people.

Ex-Slaves

Individuals who were formerly enslaved, often referring to those who gained freedom following abolition movements or legislative acts.

Civil War

A war between factions or regions within the same country, often fought over political, social, or economic issues.