The Rate of Return on a Futures Contract Is Based

question 85

True/False

The rate of return on a futures contract is based on the size of the initial margin deposit.

---

Definitions:

Depreciation Expense

The allocated cost of an asset over its useful life as an expense in accounting.

Accumulated Depreciation

The total amount of a tangible asset's cost that has been depreciated over the time it has been in use.

Productive Assets

Assets that contribute directly to the revenue-generating activities of a business.