When You Own the Underlying Security, Your Spot Position Is

question 7

Multiple Choice

When you own the underlying security, your spot position is _______.

• A)flat.
• B)long.
• C)short.
• D)is also known as your cash position.
• E)b.and d.

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Definitions:

United States v. Colgate & Co.

A landmark 1919 U.S. Supreme Court case that established the Colgate doctrine, allowing manufacturers to set their product prices provided they do not use coercive methods.

Vertical Maximum Price-fixing

An arrangement where the manufacturer or a higher level in the supply chain sets a maximum price that retailers cannot exceed in selling a product.

Sherman Act

A landmark federal statute in the field of United States antitrust law passed by Congress in 1890 to prohibit monopolies and restrict business practices that reduce competition.

Convicted

The state of having been declared guilty of a criminal offense by the verdict of a court or jury.