When Opening a Futures Position a Trader Will Pay

question 4

Multiple Choice

When opening a futures position a trader will pay:

• A)brokerage fees
• B)an initial margin payment
• C)the futures price
• D)brokerage fees and an initial margin payment
• E)brokerage fees, an initial margin payment and the futures price.

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Definitions:

Transferability of Ownership

The capability to legally transfer one's ownership stake in an asset or a company to another party.

Stockholder

An individual or entity that owns shares in a corporation, thus having a claim on its profits and assets.

Transfer

The act of moving money or goods from one place, account, or person to another.

Classified by Purpose

A method of grouping or categorizing items according to their intended use or role within a system or process.