A Derivative

question 19

Multiple Choice

A derivative:

• A)​requires little or no initial investment.
• B)​derives its value from changes in its underlying rate.
• C)​can be settled for cash without having to buy or sell the related asset or liability.
• D)​All of the above.

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Definitions:

Social Psychological Factors

Refer to the influences stemming from an individual's social interactions and societal norms that affect their thoughts, behaviors, and feelings.

Stanford Prison

refers to a psychological study conducted in 1971 by Philip Zimbardo at Stanford University, exploring the effects of perceived power, focusing on the struggle between prisoners and prison guards.

Correctional Institutions Environment Scale

A tool used to evaluate the physical, social, and psychological environments within correctional facilities.

Social Learning Theory

A theory that proposes people can learn new behaviors and attitudes through observing others, especially influential models.