22-46 a Forward Contract

question 86

Multiple Choice

22-46 A forward contract

• A)has more credit risk than a futures contract.
• B)is more standardized than a futures contract.
• C)is marked to market more frequently than a futures contract.
• D)has a shorter time to delivery than a futures contract.
• E)is less risky than a futures contract.

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Definitions:

Risk-taking

The willingness to engage in actions that involve uncertainty and potential loss in pursuit of potential rewards.

Achievement

Achievement refers to the successful accomplishment of a task or goal, often recognized or rewarded due to the effort, skill, or courage involved in its completion.

Products

Items or services offered for sale, ranging from physical goods to online software, that fulfill the needs or desires of consumers.

VALS Framework

A psychographic segmentation tool that categorizes consumers into eight distinct types based on their values, attitudes, and lifestyles.